After a disaster or burglary would you be able to replace everything, all at once?
The Insurance Bureau of Canada (IBC) reminds homeowners and tenants to make sure their insurance policies are up to date.
“Often, home insurance policies automatically renew each year and consumers may not even think about what their policies cover,”said Lindsay Olson, the British Columbia , Saskatchewan and Manitoba vice-president for the IBC.
“But if you’ve done any renovations, upgraded your furniture or acquired new and expensive electronics or art, it’s important to review your home insurance policy."
Homeowners should insure their house according to what it would cost to rebuild in the event that it was destroyed. This amount is called the replacement cost, and is different from the market value or tax assessment value.
“Replacement cost includes things such as debris removal, the price and availability of skilled labour, extra expense due to more demanding building codes, and more,” said Noble.
“Upgrades, renovations and other improvements can also make rebuilding a home more expensive than originally estimated, affecting the final replacement cost,” he added.
And both homeowners and tenants need to think about what’s inside.
“Take an inventory of your stuff,” recommended Noble. “A complete inventory of your belongings will help you get the right coverage and make it easier to file a claim.”
Consumers can complete a room-by-room inventory of their possessions and find a home assessment checklist at www.ibc.ca/en/Home_Insurance/Home_Insurance_Explained/itv.asp
— provided by the Insurance Bureau of Canada.