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

Special memorial service to say goodbye to murdered teen

A memorial service and celebratio of life was held Tuesday for murdered teen Elijah-Iain Beauregard

Okanagan-Shuswap weather: cloudy, rain expected

Environment Canada is calling for a risk of thunderstorms tonight across the Okanagan

Juno-Award winning musician Bill Bourne to perform in Keremeos

Concert at the Grist Mill and Gardens starts at 7 p.m. on July 19

10th year for Great Naramata Cherry Pit Contest

The event is a fun-filled way to celebrate the local harvest

VIDEO: Plant-based burgers may not be as healthy as they seem

Both the Impossible and Beyond Burger have more saturated fat than beef burgers

Thunderstorms forecast across B.C.

Environment Canada has issued a thunderstorm watch for B.C.’s central Interior

Man fleeing police arrested in Summerland

Incident occurred on Tuesday evening

B.C. mom to go to Europe court in hopes of getting alleged abducted daughter back

Tasha Brown alleges her estranged wife abducted their daughter Kaydance Etchells in 2016

Missing South Okanagan kayaker last seen on Okanagan Lake

Penticton RCMP are asking for assistance in locating a missing kayaker

Lower gas prices slow annual inflation rate to Bank of Canada’s 2% bull’s-eye

Prices showed strength in other areas — led by a 17.3 per cent increase in the cost of fresh vegetables

Part One: The opioid crisis and the B.C. Interior

A personal connection to the crisis: Recovering addicts share their story

B.C. moves to preserve 54 of its biggest, oldest trees

Fir, cedar, spruce, pine, yew set aside from logging

Firefighters have doused a Peachland house fire

Fire crews are still on scene investigating the cause of the BBQ which made its way to the home

Most Read