Best Home Insurance Companies in Canada: 15 Top Providers (2024)

Home insurance is a safety net that protects you, your family, your home, and your belongings in case of unexpected events.

With insurers like Square One, Desjardins, Allstate, and even banks like RBC and CIBC, you can get assurance of support when you experience a covered incident.

Learn more about the best insurance companies in Canada, the types of protection they offer, and their pros and cons.

What is Home Insurance?

Home insurance is a type of property insurance that covers losses and damages to your property or contents in your home. It is also a requirement among mortgage lenders before they approve any loan.

The insurance policy usually covers four types of incidents on the insured property:

• Interior damage
• Exterior damage
• Loss or damage of personal possessions or assets
• An injury that occurs while on the insured property

A typical home insurance coverage would at least cover the following:

• The cost to rebuild a home
• The cost to replace your personal property
• Protection against liability claims

Personal property coverage offers protection from loss or damage to your home. Liability coverage protects you from legal liability for losses due to injury to other people or damage to the property of others.

Each homeowners insurance policy has a liability limit that determines the coverage amount the policyholder is entitled to should a covered incident occur.

How Does Home Insurance Work?

Home insurance protects your home and its contents and covers the risks in cases of theft, loss or damage to the inside and outside of your home or property.

The protection covers only the things named in your insurance policy. Generally, your home insurance policy provides coverage for you and your family members.

Coverage is divided into two chief parts: personal property and personal liability. If you are the homeowner, your policy will provide coverage for your house, its contents, and outbuildings on the property.

Best Home Insurance Companies in Canada

Below are ten of the best insurance companies in Canada that provide a range of home insurance products, their features, and pros and cons.

1. Square One

Square One is a home insurance provider that allows you to choose what you want to insure and the amount you want to insure it for. The customizable home insurance policy lets you personalize your limits, coverages, and deductibles.

For as little as $12/month, you get personalized home insurance that includes comprehensive protection against most types of loss, including break-ins, fires, theft, and water damage. It also covers the costs of rebuilding your house to conform to the latest bylaw or changes in the code.

Pros

• Personalized coverage
• Low insurance costs
• Online application

Cons

• Non-refundable premiums
• No option to bundle

2. Aviva

Aviva Canada is a home insurance provider based in Ontario that protects home and personal properties from unexpected events and incidents. It provides different homeowners insurance policies, including a comprehensive policy, $1 million personal liability, and other optional coverages.

Aviva offers a range of bundles and discounts, various add-ons, and specific insurance policies. You can get lower rates if you bundle your car and home insurance policies, remain claims-free, and are a retiree.

Pros

• Affordable premiums
• Low rates due to its battle against insurance fraud
• Options to maintain premiums following your first claim

Cons

• Limited discount options
• The need to call or request an online quote to get pricing information for basic plans
• Less than positive reviews at sites like InsurEye

3. Intact Insurance

Intact Insurance is Canada’s largest home insurance company that offers a one-stop shop and a wide range of coverage. It provides various options, such as house insurance, condo insurance, tenant insurance, and home-based business insurance.

With an Intact Insurance policy, you can combine home and auto policies to get the best value for money. An enhanced water damage package and travel insurance are also available.

Pros

• The option to get discounts through bundled services
• A quick claims process
• Multiple brokers across Canada

Cons

• Limited availability of different insurance options
• Varying eligibility requirements in the provinces and territories

4. CAA

While Canadian Automobile Association (CAA) Insurance Company is known for being a car insurance provider, the Ontario-based insurer also offers home insurance, providing protection for the physical building of your house, your belongings, and other structures in your property.

CAA Home Insurance also includes coverage of you and your family from legal liability to other people and their property. CAA also covers various home systems and property due to loss through its Home Equipment Breakdown policy.

The insurer offers a 10% discount to individuals over 45 years old, 5-15% off for individuals with a monitored alarm, and 5-10% off if you are claims-free for three years or more. Bundling with auto insurance is also available.

Pros

• High customer satisfaction rating
• Competitive rates
• Member discounts

Cons

• Complaints about the company’s customer service and long wait times

5. Desjardins

Quebec-based Desjardins General Insurance is a leading property and casualty insurance provider. It offers an all-risk home insurance product for residents of Ontario and Quebec.

Its home insurance policy covers the most common types of losses (theft, fire, vandalism, damage to your property, etc.) and liability coverage for bodily injury or property damage.

The insurer also makes it easy to manage your insurance anytime, anywhere via the Desjardins Insurance Home-Auto app. It lets you view your insurance documents, update your payment preferences and file a claim.

Pros

• Home-auto app that lets you manage your insurance conveniently
• High trust ratings
• Positive customer reviews

Cons

• Limited availability
• Fewer options to get discounts

6. Economical Insurance

Ontario-based Economical Insurance is among Canada’s largest property and casualty insurance companies. It offers coverage for the following properties: home, condo, tenants, cottage, and landlord.

The insurer offers coverage for property, contents, and detached buildings, to name some. A leading provider of “special risk” home insurance, Economical serves clients who have a tough time finding coverage elsewhere, such as those with a history of missed payments or claims.

The company offers discounts if you are claims-free or mortgage-free, or if you bundle your home and auto insurance. Other ways to enjoy lower rates are if you have monitored fire alarms or insure more than one property.

Pros

• Customizable flex features on many of its insurance offerings
• Comprehensive lineup of insurance products
• Reasonable prices for members of groups and associations
• Caters to “special risk” clients
• Generally fast response to customer needs

Cons

• Complaints of lengthy wait times to handle claims and customer service in general

7. Allstate

Allstate provides property and casualty insurance to Canadians in AB, ON, QC, NB, and NS. Among its many financial products offered is home insurance tailored to the insurance needs of a homeowner.

An Allstate home insurance policy covers your dwelling, detached private structures, liability coverage, and personal property. It also offers optional coverages for earthquake damage, water protection (not available in all locations), and personal articles.

Pros

• Optional add-ons that could save you money if you are claim-free
• Disappearing deductible
• Rebates for a claim-free year
• Mobile app to manage your plan, make payments, and file claims
• Different ways to earn discounts

Cons

• Less than optimistic customer reviews at sites like Insureye
• Prices may be higher than average
• Reports of sizeable premium increases
• Limited only to a few provinces
• Needs to contact an agent to get a quote

8. Belairdirect

Belairdirect is a home insurance provider serving ON, BC, QC, and Alberta. It offers two types of coverage: All Risks and Named Perils. Its coverage options can accommodate the insurance needs of homeowners, condo owners, and renters.

Home insurance from Belairdirect covers your dwelling and attached structures, personal property, detached private structures, additional living expenses, personal liability coverage for homeowners, voluntary medical payments, and voluntary payments for property damage.

Pros

• Savings of up to $250 when you buy a home insurance policy
• Plenty of ways to save money with discounts, benefits and rewards
• Customized coverage options
• Straightforward claim process
• The mobile app provides easy accessibility to your Belairdirect policy

Cons

• Rates may go up upon renewal
• Limited coverage
• Only available in four provinces

9. Johnson Insurance

Johnson Insurance is a home insurance provider dedicated solely to Canadian professional associations and affinity groups and offers customized insurance plans designed for unique needs that match your lifestyle.

Its policy includes comprehensive coverage (including additional living expenses when moving out due to repairs following an insured loss), liability (a choice between $1 million or $2 million in coverage), and an All-Risk coverage that includes your house, sheds, and garages.

Pros

• Access to exclusive discounts and curated coverage that suits individual needs
• Savings of up to 25% when bundling home and car insurance
• Online quotes make it easy to compare rates and coverage options
• Discounts on insurance premiums
• Exclusive discounts for healthcare professionals, educators, and alumni

Cons

• Not available in all parts of Canada
• Less than positive reviews, with some customers reporting issues with customer service, billing and claims handling

10. The Co-operators

The Co-operators is an established home insurance provider with a large network. A key player in the group insurance market in Canada, it offers a range of insurance policies, including home insurance that come in several options to suit varied needs.

Three types of coverage are available: Prestige Plus, Prestige, and Classic. These home insurance policy options come with protection from water damage, shrinking deductible, discounts, legal support, and insurance coverage you can buy online.

Pros

• Bundle savings and many options to get discounts
• Mobile app to access your policy, get a quote, make a payment or file a claim
• After-hours emergency service is available 24/7
• Convenient payment options
• In-house claims expert to handle claims quickly
• High customer satisfaction ratings

Cons

• Fewer add-ons compared to other insurance providers
• No BBB accreditation

Home Insurance From the Big Banks

Aside from home insurance companies, Canada’s big banks also provide home insurance options that cater to various home insurance needs. Find out below what they have to offer.

11. RBC

RBC Home Insurance, a subsidiary of the Royal Bank of Canada, protects your home, belongings, living expenses, and liability claims. It offers a standard home insurance package with the option to add extra coverage and a comprehensive policy that protects against a wide range of risks.

RBC Insurance offers a bundling option for your home and auto insurance to reduce your total premium. Policy deductible is reduced after a year of being claims-free. It also provides an anonymous claims advice line.

12. CIBC

CIBC Insurance, a subsidiary of CIBC, offers home insurance solutions to all residents of Canada and gives them the option to tailor a plan that will suit them best. CIBC home insurance coverage includes fire incidents, theft, vandalism, other hazards, and liability claims.

CIBC home insurance also comes with Identity Theft Assistance at no extra charge to customers. Money-saving discounts are also offered, such as claims-free discounts, security systems savings, and healthy home discounts.

13. TD

TD Bank’s insurance division, TD Home Insurance, offers basic insurance packages that cover common insurable issues. Its home insurance policy covers all risks, rebuilding to code, personal liability, additional living expenses, and legal and home assistance.

TD Home Insurance also offers an enhanced policy for superior coverage. It includes eco-efficient rebuild, claim forgiveness, and enhanced limitations that increase the coverage amount for high-value items.

14. Scotiabank

Scotiabank Home Insurance is available in basic and comprehensive options. It also allows you to build your policy to suit your needs. Coverage options for basic home insurance include the cost of repairs for damages covered by the policy, living expenses, and liability.

You can get savings by bundling your home and auto insurance at Scotiabank. Discounts are also offered to claims and mortgage-free homeowners. Scotiabank home insurance also offers online quotes, flexible premium payment options, and 24/7 claims services.

15. BMO

BMO offers insurance for homeowners before closing on the sale of the property. A home insurance broker or insurance agent will help determine the coverage you need. After paying for the policy, you will need to send your lawyer a copy of the home insurance.

BMO Insurance offers flexible coverage options, comprehensive benefits, and competitive rates. To find out more about BMO property insurance, speak with one of their specialists or book an appointment to learn more about insurance coverage options that can meet your needs.

How Much Does Home Insurance Cost?

In general, the price of home insurance coverage depends on several factors, including the property type, the coverage needs of the homeowner, and the insurer.

• While home insurance varies from one home to another, it will typically cost $960 per year, according to data aggregator Ratehub.ca.

• According to KBDInsurance.com, the average monthly home insurance rate in Canada in 2023 is $78. In comparison, the monthly cost of home insurance in 2023 in Ontario is $91.

• The Consumer Price Index from Statistics Canada states home and mortgage insurance costs increased by 5.5% year-over-year in April 2023.

One way to know the cost of home insurance is to request quotes from insurers and compare plans.

In determining what you will need to pay for homeowners insurance, an insurance company will use criteria that will typically include the following:

• The cost of the house
• The age of the house
• The condition of the house
• The type of house being insured
• The total living area of the house in square footage
• The value of the personal property and its contents
• The location of the house and its neighbourhood
• The number of mortgages or home equity the homeowner currently has on the house
• The deductible amount needed to make a claim
• The cost to rebuild the house after a covered loss
• The homeowner’s credit history, depending on the province
• Discounts the homeowner qualifies for

An insurer will usually collect the said information to determine the suitable homeowner’s insurance price based on the required coverage and ensure the house is appropriately insured.

How to Get a Home Insurance Quote

One way to get a home insurance quote is by requesting it online, providing a zip code, and filling out a form.

Depending on the insurance provider, you may need to answer questions about the following:

• The type of insurance you are looking for
• When you want to start your coverage
• The coverage for your property
• Any previous insurer
• If you have had losses or claims in a given period at any location
• Information about your property
• Personal details such as address, birthday, etc.

What is Not Covered By Home Insurance?

There are several instances that home insurance providers do not cover. These include the following:

• Normal wear and tear. Your home insurance policy is intended to protect your property from sudden catastrophic events like fire or storm damage. It does not cover damages considered normal wear and tear.

• Flooding. A basic home insurance policy typically does not cover water damage. Most providers offer it as an add-on coverage or endorsem*nt. Groundwater seepage or tsunami may not also be covered at all.

• Mould. Mould is preventable and usually a result of negligence. Homeowners are often held accountable for the general maintenance of their property, and mould is among the issues that they are expected to anticipate and repair.

• Vermin infestation. Damages caused by mice, termites or bed bugs are often not covered by insurance providers. Most providers consider vermin removal as part of your home maintenance.

Pros and Cons of Home Insurance

Home insurance has advantages and disadvantages that will help you assess if it is right for you.

Pros

• Protects your house, property, and personal belongings from loss or destruction
• Offers protection from lawsuits, such as if someone sustains an injury while on your property
• Low deductible with respect to the cost of repair
• Provides peace of mind

Cons

• Homeowners insurance can be expensive
• Premiums can be high
• Does not cover all types of damage your home may sustain
• Hidden costs buried in the terms and conditions

How to Choose the Best Home Insurance for You

Home insurance is essential, but paying for it is not something everyone feels happy about. So, it is crucial to get the best home insurance from the get-go.

Here are a few factors to check out to help you determine the best home insurance and find cheap home insurance in Canada.

• Comparison shopping. Make a fair home insurance quote comparison by comparing two policies from different companies. Their coverage and deductible must be the same.
• Payment options. Check if the provider offers weekly, monthly or annual payment options that meet your needs.
• Products offered. Look at the insurance offerings and any add-ons that let you personalize your home insurance policy.
• Added perks. Does the home insurance provider offer discounts, bundling or other free services?
• Customer service. Does the provider have easy ways to contact customer service? Is there a 24/7 hotline?

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Is Home Insurance Worth It?

While homeowner insurance is not mandatory, there are several reasons why it is worth it. By design, home insurance is about protecting you and your family, your property, and your belongings from unexpected events like theft, fire, or even personality liability.

Home insurance is critical if you need to take care of repairs but do not want to pay for the expense from your own pocket. It is a crucial form of support when unforeseen incidents, such as floods or earthquakes, cause major damage to your property. That is if you purchased additional coverage for such events.

Experts expect a spike in home insurance premiums due to larger volumes of weather events. Even so, the cost of homeowner insurance is small next to the amount it may take for you to pay directly out-of-pocket in the event of a loss or destruction.

As no homeowner is immune to risks and your home can be susceptible to unexpected events, it may be sensible to set aside some money for home insurance to ensure you have protection for yourself and your family as well as your property and possessions.

FAQs

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