Cape Breton Flooding: Insurance Bureau of Canada provides insurance guidance

 Helpline and resources available to help residents with claims and recovery

HALIFAX, NS, Sept. 6, 2026 /CNW/ -- Following recent flooding and the declaration of a state of local emergency in Inverness, Richmond and Victoria counties, Insurance Bureau of Canada (IBC) is providing affected residents with key insurance information and recovery tips. IBC has also activated its Virtual Community Assistance Mobile Pavilion (V-CAMP) helpline to offer real-time, one-on-one support to residents as they begin the recovery process.

"The safety of residents remains the foremost concern as communities deal with the impacts of this flooding event," said Amanda Dean, Vice-President, Ontario and Atlantic, IBC. "As recovery efforts get underway, anyone who has experienced damage to their home, vehicle or business should contact their insurance representative or insurer as soon as possible to discuss their claim. We also want to recognize and thank the first responders, emergency officials and municipal crews whose dedication is helping keep people safe and support recovery efforts. Consumers with general insurance questions can contact IBC's Consumer Information Centre at 1-844-2ask-IBC."

Tips for starting the claims process:

When it is safe, take these steps to begin the insurance claims process:

• Assess and document the damage. Taking photos can be helpful.
• Call your insurance representative or your insurer's claims department to report your damage.
• If possible, assemble proofs of purchase, photos, receipts and warranties. Keep damaged items unless they pose a health hazard.
  • Note: Remove and dispose of any wet or mold-damaged items as soon as possible to help prevent further damage. Be sure to take photos and keep a record of everything you discard for your insurance claim.
• Keep notes. Be as detailed as possible when documenting damage and providing information.
• Keep all receipts related to cleanup.
• If you have been displaced, keep the receipts for your additional living expenses. Ask your insurance representative if you are covered for additional living expenses and for what period of time.

Insurance coverage information for affected residents:

• Sewer backup: Water damage in a basement due to sewer backup is only covered if you have purchased specific, optional sewer backup coverage. Coverage limits may apply, depending on your policy.
• Overland flood damage: This occurs when bodies of water such as rivers overflow onto dry land. This optional coverage is widely available in but often includes coverage limits and may be unavailable if you live in a known flood-plain or high-risk area.
• Roof leaks: Water damage to the interior of your home caused by water entering through a roof leak is typically covered under a standard home insurance policy – but the roof damage itself isn't covered if it's due to wear and tear or poor maintenance.
• Coastal/storm surge: Home insurance and business insurance policies generally do not cover damage caused by coastal flooding and/or storm surge.
• Groundwater and seepage: Groundwater and seepage coverage are typically not standard coverages offered across all home policies. Insurance policies can vary between providers and coverage levels, meaning no two policies are exactly alike. Like most insurance products, the level of protection you receive generally depends on the coverage you purchase. Some insurers offer both groundwater and seepage protection as optional endorsements. These endorsements may be available for purchase individually or as a bundled package, for an additional cost.
• Wind damage: Damage to homes caused by wind is usually covered. This coverage includes damage caused by flying debris or falling branches or trees, or damage caused by water entering through openings created by a storm.
• Additional living expenses: In certain circumstances, homeowners who are unable to return home due to insured damage are entitled to additional living expenses.
• Vehicle damage: If you have comprehensive or all-perils automobile insurance coverage, flood damage to your vehicle is typically covered, whether it was parked on the street, in a driveway, or in a garage. Since this coverage is optional, check your policy to confirm you are covered.

Coverage may vary by insurer and policy. Policyholders are encouraged to review their policy wording and speak with their insurance representative to confirm coverage.

Commercial insurance policyholders:

Business interruption coverage is usually triggered by direct physical damage to your business or damage to a neighbouring business that causes your location to be shut down. Consult with your insurance representative to determine whether your business interruption coverage will cover the event. 

Policyholders with questions about their individual coverage should contact their insurance representative.

Seasonal or secondary residences:

When it is safe to do so, check any seasonal or secondary residences and report any damage to your insurance representative as soon as possible. Policies for these properties may have different coverage or limits than a primary home insurance policy. Review your policy or check with your insurance professional to confirm your coverage.

IBC's V-CAMP:

Insurers serve as "second responders" in the recovery period after catastrophe strikes. IBC's V-CAMP is staffed with trained insurance industry personnel at IBC's Consumer Information Centre at 1-844-2ask-IBC (1-844-227-5422) and [email protected] to help address consumers' general questions about their home, business or vehicle insurance policies. Affected residents can also visit IBC's Flooding and Insurance webpage to learn more about insurance and the various stages of the claims process.

IBC Calls for Urgent Action to Reduce Flood Risk

Flooding is Canada's most frequent and costly natural disaster, and the trend is accelerating. Over the last 20 years, flood and water-related insured losses have increased more than 300% compared to the previous two decades, according to Catastrophe Indices and Quantification Inc.

To meaningfully reduce flood losses and help keep insurance affordable, IBC is calling on governments to accelerate action in 3 key areas, including:

1. Invest in the infrastructure that protects communities
2. Shift from recovery to prevention
3. Give Canadians access to flood-risk information 

"Insurers are part of the solution, helping homeowners reduce their flood risk by offering discounts or better coverage terms for proven flood‑protection measures like backwater valves and sump pumps, and by rebuilding homes more resiliently after a loss. However, insurance alone can't solve Canada's flood problem. We must do more to protect homes so they don't flood in the first place," added Dean.

About Insurance Bureau of Canada

Established in 1964, Insurance Bureau of Canada (IBC) is the national industry association representing Canada's private home, auto and business insurers. Its member companies make up the vast majority of Canada's highly competitive property and casualty (P&C) insurance market.

As the leading advocate for Canada's private P&C insurers, IBC collaborates with governments, regulators and stakeholders to support a competitive environment for the P&C insurance industry to continue to help protect Canadians from the risks of today and tomorrow.

IBC believes that Canadians value and deserve a responsive and resilient private P&C insurance industry that provides insurance solutions to both individuals and businesses.

For media releases, IN Focus articles or to book an interview with an IBC representative, visit ibc.ca. Follow us on LinkedIn, X and Instagram, and like us on Facebook. If you have a question about home, auto or business insurance, contact IBC's Consumer Information Centre at 1-844-2ask-IBC. We're here to help.

SOURCE Insurance Bureau of Canada

Media Contact: IBC Media Relations, [email protected]