The Insurance Bureau of Canada (IBC) has issued a response to a new federal audit that critiques the country’s progress on climate adaptation, highlighting that urgent measures are needed to protect communities from increasingly severe weather events.
Earlier today, the Commissioner of the Environment and Sustainable Development, in partnership with the Auditor General of Canada, tabled an audit on Canada’s National Adaptation Strategy.
According to the IBC, the report highlights significant shortcomings in the federal government’s efforts to protect Canadians from the immediate impacts of climate change, despite ongoing investment in long-term emissions reductions.
Craig Stewart, IBC’s vice-president for climate change and federal issues, said that insurers support the audit’s findings. “The Auditor General’s findings indicate that, despite years of focus on emissions reduction, the federal government has underperformed on commitments to protect Canadians from the wildfires, floods, windstorms, and hailstorms affecting hundreds of thousands of Canadians today,” Stewart said.
The timing of the audit aligns with fresh evacuations due to wildfires in parts of the country, according to the IBC. Stewart emphasized that the repeated displacement of residents is a clear signal of the need for stronger adaptation measures.
“Last summer, in the span of just 24 days, Canada experienced a series of devastating catastrophes, which resulted in nearly a quarter of a million insurance claims – 50% more than our industry usually experiences in an entire year,” he added.
The IBC highlighted a stark imbalance in government spending on climate action. Over the past decade, $41.8 billion has been invested in reducing greenhouse gas emissions, the benefits of which are expected decades from now, compared to only $4.1 billion allocated to protecting communities from current and near-term climate threats.
According to the IBC, reversing this disparity is essential. The industry is calling for increased federal capital investments in infrastructure, policies restricting development in high-risk zones, and retrofit programs for homeowners.
“Severe weather is getting worse,” Stewart warned. “The industry stands ready to do its part and work closely and collaboratively with the federal government to create a more resilient country – one that is better able to adapt to extreme weather events, including wildfires.”
The audit and industry response are likely to intensify the national conversation about climate adaptation priorities as the country enters another summer of heightened climate risk.
What steps do you think Canada should take to better protect communities from extreme weather? Share your thoughts below.
