With flood-related claims continuing to rise, the Institute for Catastrophic Loss Reduction (ICLR) and the Insurance Bureau of Canada (IBC) issued fresh guidance to help homeowners reduce the risk of basement flooding.
In the latest edition of their IN Focus series, the two organizations outlined measures Canadians could take to protect their homes against water damage linked to increasingly severe weather events.
ICLR, which conducted extensive research on natural hazard mitigation, used a tiered “Good, Better, Best Protection” model to outline incremental steps homeowners might follow depending on their risk level and available resources.
Flood events in recent years added to insured losses across the country. Ontario recorded more than $1 billion in insured flood damage in 2024, marking the second-costliest summer for flooding in the province’s history.
A year earlier, Nova Scotia experienced severe flooding following an atmospheric river event that brought over 250 millimetres of rain in under 24 hours. That event caused widespread property and infrastructure damage, led to a provincial state of emergency, and resulted in more than $170 million in insured losses.
These types of high-intensity, short-duration storms, often caused by warming temperatures, increasingly overwhelmed municipal infrastructure, especially in older neighbourhoods with aging stormwater systems. As a result, homes with basements faced heightened risks of flooding and sewer backup.
ICLR recommended that homeowners start with essential measures such as regrading lots to direct water away from foundations, installing backwater valves, and maintaining sump pumps. Disconnecting foundation drains and downspouts from municipal sewer systems was also advised to reduce the risk of backup.
Homeowners who had already implemented these steps were encouraged to take further precautions, including sealing cracks in foundations, protecting basement windows and stairwells, and avoiding landscaping that interfered with sewer laterals. For more comprehensive protection, ICLR advised removing reverse slope driveways, replacing aging sewer laterals, and installing trench drains where necessary.
Alongside physical mitigation, IBC urged homeowners to review their insurance policies to understand what flood-related damage would be covered. While overland flood and sewer backup coverage had become more widely available in recent years, many policies continued to exclude damage from seepage or water entering through foundation cracks.
Water damage to vehicles was generally covered under optional comprehensive auto policies, while homeowners who had to vacate their homes due to insured damage might have been entitled to additional living expenses under their coverage.
Both ICLR and IBC encouraged property owners to consult with their insurance providers and visit ibc.ca for more information on managing flood risks and navigating the claims process.
