Every week we’ll highlight the best question sent to our resident insurance expert, Anne Marie Thomas. This week’s question, about home insurance pricing, comes from Alex.
“Is home insurance greater for homes near a forest?”
According to Natural Resources Canada there are almost 7,500 forest fires a year. But, as Anne Marie explains, proximity to a forest doesn’t necessarily factor into your home insurance premium.
“Whether you are near a forest is not so much the issue that would concern an insurance company as much as how your home is protected from fire,” Anne Marie says.
“Is the home in a rural area or an urban area? If your home in an urban area that is fire hydrant protected, your premium will be lower than if your home is in a rural setting that is protected by a fire department only and not a hydrant,” she continues. “The reason being is that in the event of a fire, if you are in an urban area with easy fire hydrant access, the risk of a total loss to your property is less likely to occur than if you live in a rural area where it could take longer for help to reach your property which poses a greater risk of increased damage.”
Whether your home is located near a forest or not, if a fire causes damage to your home, the cost to repair or rebuild would generally be covered by your home insurance policy.