Ontario · Home Insurance · Renewal Reality Check

Your home changed.
Did your policy?

Construction costs are up 35% in five years. Water is now the #1 home claim category in Canada. Most Ontario homeowner policies are still priced and structured like it's 2019.

Published
May 2026
Read time
6 min
01

Your rebuild number is probably wrong

Statistics Canada's residential construction index is up about 35% in five years. The dwelling limit on your policy almost certainly hasn't moved that much.

This is the single most common gap I find when I open someone's home declaration page. The dwelling limit was set when the policy was written — sometimes a decade ago — and indexed at 2–3% a year. Real construction inflation has been double that.

The math at claim time is brutal. If your home rebuilds for $720K and you're insured for $560K, you eat the $160K shortfall — even if your policy says "guaranteed replacement cost," because most GRC clauses cap at 125–150% of the insured value.

A 10-minute conversation, a current replacement-cost calculator, and your renewal gets re-rated to today's number. Often the premium increase is small; the protection upgrade is enormous.

02

Water coverage is two endorsements, not one

Per Insurance Bureau of Canada reporting, water has been Canada's #1 home claim category for years. Most homeowner policies still don't include the right coverages by default.

There are two water perils that matter:

  • Overland Flood — water entering your home from outside (rivers, lakes, surface water from heavy rain or snowmelt)
  • Sewer Backup — water entering your home from the sewer system (basement floods after a storm, etc.)

Both are usually optional add-ons, sold separately, with separate limits. A policy with one but not the other has a real gap. A policy with neither is dangerously exposed.

If you've never explicitly said yes to both, assume you only have one or zero. Pull your declaration page or text me a photo — I'll tell you in 30 seconds.

03

The pipes under your driveway are probably uncovered

Service Line coverage. Most homeowners have never heard the term. Most policies don't include it. Most repair bills are $5,000–$15,000.

The water, sewer, gas, and electrical lines that run between your home and the street are your responsibility as a homeowner — and they're not covered by a standard homeowner policy. When a tree root cracks the line or it just ages out, you pay for the excavation, repair, and restoration.

The Service Line endorsement adds it on for typically under $30 a year. Among the highest-ROI add-ons available. Worth asking about specifically because most brokers don't bring it up.

04

Protect the claims-free discount before you need to use it

Your claims-free discount is usually 5–15% of your premium. The day you make a claim, it disappears for 3–7 years. There's an endorsement that protects it through your first claim.

Claims-Free Discount Protection is invisible until you need it. The math is straightforward: if you make a $20,000 claim and lose a 10% discount on a $1,800 premium for five years, you've lost $900 — on top of any rate increase from having a claim on your record.

The endorsement preserves the discount the first time you claim. It's a quiet, sub-$50/year add that almost nobody is offered by default.

05

What to do before your next renewal

Two minutes, ten minutes, or twenty:

  • 2 min2-minute coverage check on the homepage
  • 10 min — text me your declaration page and I'll mark up what's missing
  • 20 minfull quote form; I'll send a side-by-side against your current policy

The worst case is you find out you're already in great shape — and you knew it intentionally, not by accident.

Want a second opinion on your coverage?

It's free, it's not a sales pitch, and the worst case is you find out you're already in great shape. The best case is a five-figure correction before something goes wrong.

Get a full quote → Run the 2-minute coverage check →

Amit Sharda · RIBO-licensed Ontario broker · 647-971-3240 · amitsharda400@gmail.com