Innovative new offering will give Aviva customers additional coverage and peace of mind at no additional cost
Toronto, ON (Apr. 12, 2018) – Today, Aviva Canada introduces a new level of earthquake coverage embedded in all British Columbia (BC) homeowner and tenant insurance policies. The standard offering will be at no additional cost to new customers or current Aviva customers upon renewal.
In British Columbia, research shows that there is a 1 in 4 chance of another major earthquake within the next 50 years. In a BC homeowner survey conducted by Aviva, 75% respondents believe that an earthquake is likely to occur in their lifetime.*
“While all insurers in BC offer earthquake coverage as an endorsement, until today, no company has offered it within a standard policy, ” said Phil Gibson, Chief Underwriting Officer at Aviva Canada. “This is concerning since our survey shows that 60% of BC homeowners believe their policy would provide financial support in event of an earthquake. No one should be left in the lurch without coverage that they thought they had. That’s why we’re proud to announce Aviva’s solution to embed earthquake coverage for our customers at no additional cost – offering added value and greater peace of mind.”
Current market for earthquake coverage does not meet customer expectations
In the current Canadian market, only Aviva Canada and two other insurers are offering earthquake coverage without restrictions in all risk zones, whereas most insurers have some form of restriction on high-risk zones like Richmond and Victoria. In addition to these market restrictions, all insurers in BC offer earthquake coverage only as an endorsement that must be purchased as an add-on to a home, condo or renter’s policy.
Market-leading coverage that redefines earthquake insurance
Should the ‘big one’ hit, or ‘small one’ strike, Aviva Canada’s new offering for house, condominium, renter and manufactured home will not only include earthquake coverage as part of their policy, but also offer optional enhancements to help manage different levels of risk.
Examples of coverage that will be included in every policy are:
- For house and manufactured homeowners: emergency living expenses for earthquake, such as temporary accommodation, food and clothing or transportation costs associated with moving to stay with family or friends in a different province up to $25,000.
- For condominium owners: full earthquake coverage for contents, improvements and betterments, condo loss assessment, and unit additional protection.
- For tenants and renters: full earthquake coverage for contents.
“We noticed that many customers are not buying earthquake coverage in relation to their potential risk exposure,” adds Phil Gibson. “This could be associated with customers not understanding the implications, or mistakenly believing they are already covered for earthquake in their existing home policies.”
Only about a quarter of BC residents in the survey consider themselves knowledgeable when it comes to earthquake insurance, while even fewer (22% of respondents) believe they are prepared to deal with the financial and practical ramifications of an earthquake.
Aviva’s new earthquake coverage is available to BC policyholders at this time, with future opportunities to roll out in other provinces.
* An online survey by Research Now across a panel of 1406 British Columbia residents from September 19 to October 2, 2017. All respondents had a current home policy with a small number of condo owners also included.
About Aviva Canada
Aviva Canada is one of the leading property and casualty insurance groups in the country, providing home, automobile, leisure/lifestyle and business insurance to 2.8 million customers. A subsidiary of UK-based Aviva plc, Aviva Canada has more than 4,000 employees focused on creating a bright and sustainable future for our customers and our communities.
Aviva Canada invests in positive change through the Aviva Community Fund, Canada’s longest running online community funding competition. Since its inception in 2009, the Aviva Community Fund has awarded $8.5 million to over 280 charities and community groups nationwide. Aviva Canada, bringing over 300 years of good thinking and insurance solutions to Canadians from coast-to-coast.
For more information, visit aviva.ca.
Source: Aviva CanadaTags: Aviva Canada, British Columbia, earthquake