Wildfire Insurance Claims In BC: What Every Homeowner Should Know

As wildfire seasons become longer and more severe, more British Columbians are facing property damage, evacuation orders, and insurance claims. Recent updates from the BC Wildfire Service indicate that the province is preparing for increased wildfire activity, with several evacuation orders already in place due to active fires.

If your home or property has been affected by wildfire, understanding your wildfire insurance coverage, your rights under your policy, and the claims process is essential. Whether your claim has been denied, delayed, or underpaid, you may have legal options. 

Does Home Insurance Cover Wildfire Damage? 

Homeowner insurance policies provide coverage for damage caused by wildfires.

• Damage to your home and other structures. 
• Personal belongings. 
• Additional living expenses if you’re forced to evacuate. 
• Debris removal and cleanup. 

However, every policy is different. Coverage limits, exclusions, and policy conditions can affect what you’re entitled to receive. 

Why Are Some Wildfire Insurance Claims Disputed? 

Insurance disputes can arise for several reasons, including: 

1. The insurer disputes the value of the loss. 
2. The rebuilding estimate is lower than contractor quotes. 
3. Certain property or expenses are excluded. 
4. Code upgrades not covered 

In some situations, homeowners discover that their property was underinsured or that important coverage options were never discussed when the policy was purchased. 

What Should I Do After a Wildfire? 

If it is safe to do so: 

1. Follow all evacuation orders and alerts issued by authorities. (EmergencyInfoBC)
2. Document damage with photographs and videos. 
3. Keep receipts for emergency expenses and temporary accommodation. 
4. Make a detailed inventory of damaged property. 
5. Notify your insurance company as soon as possible. 
6. Speak with a lawyer if your claim is denied, delayed, or appears undervalued. 

Early action can help preserve evidence and protect your legal rights. 

Can I Challenge a Denied or Underpaid Insurance Claim? 

Potentially, yes. 

If your insurer has denied your claim or offered a settlement that does not reflect the cost of repairing or rebuilding your property, you may have options to dispute the decision. 

In some cases, legal action may also be available if an insurance broker failed to obtain the coverage you requested or did not properly explain available insurance options.

Frequently Asked Questions

Can my insurance company pay less than the cost to rebuild? 

It depends on your policy. If you have Guaranteed replacement cost coverage, your insurer is required to replace the home to like, kind & quality of the home as long as the description of construction was disclosed properly. If you have a replacement cost wording the insurance company will only pay to the limit stated in your policy declaration page of limits. 

What if my insurance claim is denied? 

You may be able to challenge the decision. An experienced lawyer can review your policy and explain your legal options. 

Where can I find current evacuation orders in BC? 

Current evacuation orders and alerts are available through EmergencyInfoBC. 

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.