Spring flooding in Grand Forks in 2018. This couple returned home to find four feet of water inside. (Kathleen Saylors/Grand Forks Gazette)

Who should bear the financial risk of flooding? Here are three options

Report by Insurance Bureau of Canada and federal government says how cost is covered must change

A new report co-authored by the government and the insurance industry says Canada can do a better job of protecting homeowners from the escalating financial risks of flooding.

The report, produced by a national working group co-chaired by the Insurance Bureau of Canada and Public Safety Canada, says the worsening threat means the country has to change how it covers the resulting cost of such disasters.

The report estimates about one-fifth of homes in Canada are at risk of overland flooding, while insurance payouts have surged to about $1 billion per year over the past six years.

The working group offered three possible options: a pure market approach where risk is borne by homeowners; one in which government is more heavily involved, and the creation of a high-risk pool of funds to help manage the financial risk.

All three options are viable, the report says, though some do a better job than others at meeting core principles like affordability, efficiency and financial sustainability.

READ MORE: Southern B.C. flooding victims asked to check in safe on Facebook

The report also explores the importance of creating more public awareness and encouraging homeowners to take steps to limit their risk, or to take even more drastic steps, like moving.

The Canadian Press

Like us on Facebook and follow us on Twitter

Just Posted

RDKS moves towards modernizing waste management

Survey conducted to help improve disposal of trash

Five murals to be painted in Terrace this summer

Artists paint together in celebration of the Skeena Salmon Art Festival

City purchases Terrace Bowling Lanes

The business will stay open for one last season

Terrace RCMP trying to reunite owners with stolen goods

Two men arrested in connection with thefts

Terrace Minor Softball closes season with wins

Teams with be competing in nationals in Saskatoon

Feds lowered poverty line, reducing the number of seniors in need: documents

Liberals introduced a poverty line that was below the prior low-income cutoff

Trudeau announces $79M investment for 118 more public transit buses across B.C.

Contributions from municipal to federal level to fund more buses in a bid to cut commutes

B.C. woman wins record $2.1 million on casino slot machine

‘That night was so surreal … I wasn’t able to sleep or eat for the first two days,’ she said

After B.C. dad’s death, Technical Safety BC wants changes to trampoline park rules

Jay Greenwood, 46, did ‘a series of acrobatic manoeuvres prior to a fall that caused serious injury and cardiac arrest’

$900M settlement reached in class action on sexual misconduct in Canadian military

After facing criticism, the government moved to begin settlement proceedings in early 2018

Tax take stays ahead of increased B.C. government spending

Tax revenue $2.1 billion higher than budget in 2018-19

Two toddler siblings found drowned on First Nation in Alberta

The siblings were found drowned on their family’s property, according to RCMP

Chiefs honour Indigenous leader wrongfully hanged in B.C. 154 years ago today

Chief Joe Alphonse says they want his remains returned to his homeland in B.C.’s Cariboo region

Rare white ravens spotted again on Vancouver Island

Nature photographer Mike Yip said mysterious birds back in Coombs area

Most Read