Becoming a "snowbird" and its impact on your home insurance
Canadian winters are no joke. Between heavy snowfall, icy roads, and generally unpleasant low temperatures, many Canadians choose to escape the winter season and "fly south." This typically involves leaving your home vacant for several weeks—or even months—at a time. Unfortunately, your home insurance may be affected by your seasonal habits.
Many insurers will expire or cancel your home insurance if your home is vacant for 30 days or more. This number varies by provider. Fortunately, most providers will only consider a home "vacant" if there is no intention of returning. This doesn't mean there's no risk, however! Unoccupied homes can lead to problems, and unless proper preventative measures are taken, you risk having your claims for damages that occurred while your home was unattended denied.
A dwelling can be considered unoccupied if you are absent for any length of time, whether it be for a single day, a month, or even several months.
If you enjoy snowbirding, how can you ensure the safety of your home? How can you avoid having your home insurance cancelled?
Other reasons why your home insurance policy may be cancelled
There are many reasons why your home insurance policy could be cancelled. These include, but are not limited to, the following list:
- Failure to make monthly (or annual) payments
- Non-renewal because an insurance company has stopped offering a certain product or has stopped serving a certain area
- Increased risk
- Too many insurance claims
- Changing suppliers without notifying your insurer
- Non-disclosure, fraud, or illegal activities
- File a claim and then don't use the claim money for repairs.
It's safe to say that most reasons your home insurance policy is cancelled are avoidable. Even if leaving your house vacant is unavoidable, there are ways to take care of your property before you leave and by asking someone to help you!
Here's what you need to do before leaving for the winter or going on vacation:
Check it or ask someone to do it for you (and often!)
The biggest risk to which empty homes are exposed is damage or theft, as unoccupied houses are more attractive to thieves. Many insurers will cancel your policy if you leave your home unattended and empty for more than four days. You'll want to either check the exact wording of your policy or assess the clarity of the time limit by calling your insurance broker. Not a snowbird, but planning a vacation? That's fine, but you should ask a trusted friend, family member, or neighbor to keep a regular eye on your home. This regular check should include verifying that your home is properly heated (especially if you're going on vacation during the winter months) and that there's no accumulation of snow, debris, or ice that could cause damage around your roof.
Depending on your provider, you may be required to have someone check on your home as often as every 24 hours. This number varies from provider to provider, but it's always wise to check first by reading your policy or contacting your broker.
Obviously, unoccupied houses can be targets for thieves.
Burglaries and break-ins remain widespread threats, even when our homes are occupied. However, houses are even more attractive to thieves when they appear empty. This is because there's less chance of encountering someone or involving the police if no one is home. In addition to hiring a house sitter, who can regularly turn on the lights to give the impression of occupancy, you can install exterior and interior lights, suspend your newspaper delivery service to avoid piles of paper, and ask a neighbor to shovel your driveways as often as possible.
Your home insurance typically includes coverage against break-ins, theft, and burglary up to a certain limit. This is especially true for higher-value items such as watches, jewelry, family heirlooms, etc. You may need to speak with your insurance broker about additional coverage or an endorsement to include reimbursement for these specific items.
Prepare your house beforehand
If you're a snowbird or planning a vacation, it's important to have someone look after your home, but you also need to take steps to ensure your house is ready to be temporarily empty. Let your house-sitter know exactly what to do if things go wrong, such as if your pipes freeze, the furnace malfunctions, or there's water damage.
Did you know that water damage is one of the most common home insurance claims in Canada? To reduce your risk of water damage, it's advisable to shut off your water supply for the duration of your vacation or flight. This includes draining your plumbing systems and adding antifreeze, if applicable. If a severe storm occurs and your power goes out, this can prevent your toilet bowls, water heater, and pipes from freezing and bursting.
Water damage claims resulting from a failure to inspect your empty, unheated, and unattended home will likely not be covered by your home insurance policy. This is because most insurance companies only cover water damage resulting from unexpected or sudden leaks, and only if you have been regularly maintaining your home up to that point. Consider adding flood coverage to your home insurance policy. It comes at a small additional cost for tremendous protection.
Ultimately, the most important thing is to understand what your coverage is and what it isn't. Take preventative measures, have someone check on your home periodically (most insurers may require a visit every 24 hours), and enjoy your time away from harsh Canadian winters.