What is home insurance in Scarborough?
Home insurance is an insurance agreement between you and an insurer, wherein you exchange payment (or "premiums") for financial protection that secures your property, its contents, and your personal liability against perils that would damage your financial health. BrokerLink's duty is to find homeowners and residents of Scarborough home insurance that best meets their needs since no policy is exactly alike. Finding the right insurance company for your protection needs is much like shopping for the right pair of boots - if shopping for the right pair of boots meant every single store had a different price, different features, different colours, and so on. That's why it's great to have an expert in your corner! An expert knows house insurance, so they can guide you along your journey.
Scarborough property insurance coverage
Protecting your home is more than simply locking your doors at night or when you go out. It's not just about taking in the exterior fixtures when it rains. Adequately securing your residence is all those things and purchasing comprehensive home insurance. Scarborough residents, by use of BrokerLink's quick, 5-minute quote tool, can start finding insurance online. A comprehensive home policy may secure your dwelling and belongings against all kinds of potential risks, including theft, property damage, lawsuits, and so much more. Home insurance in Scarborough is not required, but it provides your household with peace of mind and protects your assets. Here's what may be included in a standard policy:
Personal liability coverage
Perhaps the most critical component of any home policy is personal liability coverage. Not to be mistaken for the kind of liability insurance that an auto insurance policy might provide, personal liability coverage comes in handy if a third-party should injure themselves while on your property. This could be a guest, a relative, or even a delivery person. Any medical bills or legal fees may be covered by your insurance. With personal liability coverage, you may also have insurance if you or a household member causes injury or property damage anywhere else in the world.
What would your home be without its physical structure? Dwelling insurance is designed to cover exactly what you might expect it to: your physical dwelling. Some policies may also include any private structures, either attached or detached, on your property, such as any pools, sheds, garages, and so on. If your property is damaged due to an insured peril, you would have protection under this portion of your policy. Some examples of insurable perils are as follows:
- Aircraft or vehicle impact
- Fire and smoke
- Falling objects
A personal insurance policy for your home isn't limited to the dwelling of your property alone. A standard home policy may include contents coverage, which insures the contents within your home or anything that constitutes as personal property. Your contents coverage may include such items as your furniture, clothing, electronics, sports equipment, jewellery, and more. Some insurers will have you purchase additional coverage for certain items.
Additional coverage options for Scarborough home insurance
Scarborough home insurance is designed to reflect the needs of the household members and property, so sometimes standard protection doesn't cut it. Although a basic policy may provide some level of protection, it can be limited - which is where extra coverage comes in handy. Depending on your eligibility requirements, you may be able to purchase the following add-on coverage options. The following three are just examples. Ask your own insurance company about what additional options they may offer:
Sewer backup coverage
As a first example of optional coverages, sewer backup insurance is becoming an increasingly popular add-on for many residents of Scarborough. This endorsement insures you for any necessary repair costs that may have resulted if your home was damaged by sewer backing up, whether to due a blockage in your municipal system or your residents' pipelines. Water damage that results from sewer backup can be extremely expensive without coverage.
Home-based business coverage
Ever since COVID-19 forced many employees and professionals to work from home, operating remotely has boomed in popularity. Many people have opted not to return to the office at all, and instead are managing their operations entirely from a home office. If you run a business out of home in Scarborough, however, you may need a business insurance endorsement. Your standard Ontario home insurance policy would not include coverage for losses due to business activities.
Overland water coverage
If your property requires repairs due to water damage, your standard home policy may be limited on what it can insure. Oftentimes, the only cases of water damage that a standard policy may insure are if the entry of water was due to an existing, insured loss, such as if a tree fell onto your roof and left a sizeable hole that rain then came through. Flooding is only insurable under an add-on coverage, known as overland water coverage. As a relatively new offering, overland water insures your property for freshwater floods, such as lake or river overflow, and if groundwater enters your home through its foundation, sewer line, or through the basement floors.
Take note that all the options listed above are not included in a standard policy and must be included upon request as additional coverage.
What Scarborough home insurance policies commonly exclude
In the event of an unexpected loss, having a home insurance policy in place is a great thing. Unfortunately, not every possible peril is able to be insured. Every policy will have outlined in its terms and conditions what may be excluded. Your documents may also state the circumstances which would cause your insurance to become void.
Here are some examples of things that may not be covered by your house insurance:
Vacations are great fun for the whole family, and an excellent way to see if the grass really is greener on the other side. But if your vacation takes you away from your home for 30 days or more, your coverage will be limited during this time and your home may be deemed vacant. Any losses which occur during a period of undisclosed vacancy may not be covered. If you plan to leave your home for a longer period for any reason (whether due to renovations, vacation, etc.) then you should give your broker a call to discuss vacant home insurance policies.
Lack of maintenance
Taking care of your home is essential to looking after your property and ensuring that it is better-equipped to withstand potential losses. In fact, the maintenance of your home is your responsibility - and any damages resulting from wear-and-tear or simple lack of maintenance will not be covered by your home insurance. Moreover, allowing your home to fall into a state of disrepair could voice your policy altogether.
If you've been planning that kitchen remodel for the last several months, then you're probably excited to get going. But before you pick up the construction equipment or call up that contractor you've been chatting plans with, do yourself a favour and call your broker. Undisclosed modifications or renovations may not be covered unless you do an insurance review and update, first. Failing to inform your broker may risk your claims being denied.
Homesharing can be an excellent means of earning additional income, and platforms such as VRBO and Airbnb have gained popularity over recent years. However, since rental activity constitutes as business activity, you would need to first disclose your plans to rent out your property or a portion of it whether that's on a short-term or long-term basis to your insurer, first. Failing to inform your broker could result in claims being denied, especially those to do with rental activities, and your policy being voided.
What is the average cost of home insurance in Scarborough?
Pinning a singular price point of the cost of home insurance in Scarborough is virtually impossible, seeing as there's so many different homes, different households, and different insurers. Property factors, households factors, and regional factors will all play a role in the final price you'll end up paying. BrokerLink is happy to help you compare between home insurance quotes, but we also understand that there's some power in being informed. Request a free Scarborough home insurance quote with our easy-to-use tool to see a rough estimate of what you may pay for your protection.
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Here's how insurers calculate Scarborough home insurance rates
As disclosed previously, there are so many factors which affect the cost of your home insurance. It's all in the details. Comparing between multiple home insurance quotes is the best way to getting a great price. You'll notice a lot of variability from insurer to insurer, and that comes from the different way that each provider weighs risks. Knowing how your rates are priced is super helpful when it comes to understanding how to save money.
Below are some of the key factors insurers will use when calculating your rates:
1. Your household and you
You are just as much of a factor in how much your rates will be as your physical property is. Insurers may look at the following things:
- Your past claims - The best way to get a lower price is to be claims-free. We understand that's not always possible, so doing your best to handle small issues by yourself and taking care of potential issues before they worsen is the best way to go about this.
- Insurance history - Being continually insured for longer bodes better for your premiums than if you have lapses in coverage or an inconsistent, short insurance record.
- Previous cancellations - Sometimes, cancellations happen and they aren't your fault. But being cancelled due to non-payment can result in a higher premium.
2. Your house
As you might imagine, your property and its actual value are majorly what affects your final cost. You might see variations in your insurance quotes based upon:
- Your home's value and square footage - High value homes are more expensive to insure than standard bungalows. In addition to the value of the actual home, insurers also take into account the value of private structures, like sheds, garages, signage, and landscaping.
- Your neighbourhood - Where your home is located may make an impact on your costs. Homes nearer to safety features, like fire stations and hydrants, may have lower rates than homes which are far away from these features.
- Home contents - High-value items may need additional insurance, which can result in higher premiums. The more you own and the higher its value, the more your insurance may end up costing you.
- The condition of your home/its age - You'll find it's easier to get a more affordable price for your home insurance in Scarborough if your home is newer. Older, unrenovated homes present a higher risk to insurers.
Every insurance company in Canada uses a different database of statistics to price risk. This is why there's so much variability in homeowners insurance. Insurance providers may weigh risks differently, which is why it's so important to get multiple quotes and compare between.
The best ways to save on your home insurance in Scarborough
Saving on your home insurance in Scarborough is easier when you understand what goes into your pricing. Here are some top tips from BrokerLink's best on how to save money:
1. Bundle your home and auto insurance
Many insurers offer what is called a multi-policy discount, which is virtually the act of insuring multiple assets through a single provider. Many providers want your return business, so they'll incentivize you with a discount of usually 10-15% per policy.
2. Avoid filing too many claims
A claim is something you make when a loss occurs, informing your provider of the incident and requesting compensation per the terms of your agreement. When you file a claim, that claim is then recorded in your insurance history. The more claims you make, the higher your insurance rates may be. To negate this impact, fix small issues yourself and avoid, where possible, this will reduce unnecessary home insurance claims that may only end up negatively affecting your rates.
3. Pay for your policy upfront
Most insurers will offer several methods of payment, whether that's month-by-month or upfront. Although it can be tempting to pay monthly, each monthly payment you make will be subject to a surcharge - or administrative fee. Multiply that fee by twelve, and that's the added cost your paying each year for monthly payments. Paying upfront not only removes that added fee eleven times, but some insurers will discount your policy for doing so.
4. Work with an insurance broker
Working with an insurance broker, while our last tip on this list, is easily the best way to earn the best possible price on your homeowners insurance. Our experts at BrokerLink have insider knowledge from all their experience working in insurance and can lend you a helping hand when it comes to finding insurance online that fits the bill - both in terms of budget and protection.
Local Ontario Insurance Links
If you’re a member of a group or association, you may be eligible for more discounts.
At BrokerLink, we have market connections with some of Canada's most trusted home insurance companies to help our customers even better. Customer service is what we do best, and when it comes to assigning you an insurance policy that makes you feel confident, look no further than BrokerLink to do the job. As Scarborough home insurance brokers you can trust, we have insider knowledge on all the greatest benefits, best discounts, and ways to save so you get the best protection and the best price.
Ready to begin? One of our local insurance experts will be happy to chat about your property insurance with you today and explore all the most convenient ways to help you save. Get a quick homeowners insurance quote in 5 minutes with our easy-to-use tool.
We're in your community
Perhaps one of the best things about working with a Scarborough home insurance broker from BrokerLink is the fact that you're actually working with a professional who fully understands what it's like to live here, in this large, multicultural district that is known for its diverse spread of attractions. We're happy to live here, and we can't wait to help out our neighbours.
When we work with you, we get to know you before we even begin the "insurance talk" so that when we set out to find you great coverage, we already know everything we need to know about your protection needs. Let's chat about additional living expenses, personal liability, and any other additional coverage that you may need to be sufficiently insured. We'll also explore all the best ways to help you save without pushing you to cut crucial coverage or make any changes you aren't comfortable with.
Connect with a local BrokerLink insurance advisor today for the right home insurance in Scarborough. We can discuss with you in whatever way you best prefer, be that over the phone, by email, or face-to-face over a coffee at one of our local branches. We understand that everyone's life is very busy, and if you've adapted to the hustle-and-bustle lifestyle of the GTA, then we're happy to chat through whatever medium you most prefer. Cheap home insurance in Scarborough is only a quick quote or a call away.
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Commonly asked questions about Scarborough home insurance
Home insurance is confusing and can be complex. A lot of people have home insurance, car insurance, or other types of insurance, but how many people fully understand what insurance is, what it covers, and how it works? One critical component of getting better coverage is knowing how to understand your insurance. Find answers to your most commonly asked questions about home insurance here, or give us a call for additional inquiries.
What kind of natural disasters does my Scarborough home insurance policy insure me for?
Since there's no standard or minimum for home insurance in Alberta, it's tough to actually say exactly what perils your policy might include. A basic policy will generally include insurance for threats like fire, falling objects, theft, wind, hail, lightning, and smoke, but policies vary between insurers, regions, and policyholders. The best way to figure out what your protection plan includes is to review it with the aid of a broker.
Is it required to purchase home insurance in Scarborough?
Not provincially. It is, however, often requested by a financial institution or lender if you have an ongoing mortgage that you're still paying off. Home insurance is often required the same way a condo insurance
policy would be; a condo corporation might request its purchase to ensure its asset is protected, not unlike a lender.
What are extra living expenses?
As part of your home insurance policy in Scarborough, you might have something called extra or additional living expenses. This unique coverage insures you and your household if you are forced out of your residence due to an insured peril, and will cover you for ongoing costs until you can return to living as usual. It may include food, clothing, childcare, and housing arrangement expenses until your property is restored or repaired.
If you have any questions, contact one of our local branches.
More Ways to Find a Great Home Insurance Rate