Find the Best Home Insurance in Mississauga

Home insurance 101

Whether you live in a house in Mississauga, a condo, townhouse or rental, when it comes to insurance coverage, one of the first decisions you’ll have to make is how much protection you want.

Most home insurance policies come with three basic aspects: protection against perils, protection of contents and liability protection.

You’ll choose between two main policy types, each distinct for the protection they offer around perils:

• A comprehensive policy — often referred to as an all-perils policy — will cover you for all perils to your home and its contents, except for those specifically excluded.
  
  In other words, you will be protected financially if your home and its contents are damaged, but you won’t be covered for named exclusions.
  
• A named perils policy will cover your home and its contents against perils specifically named in a policy.

Though you’ll have the option to choose between policy types, brokers say comprehensive policies tend to be the most common.

Once you choose between an all-perils or named perils policy, we recommend you consider getting additional coverage for flood protection.

Though a comprehensive policy will offer protection against water damage, such as a burst pipe, flooding is often an exclusion.

Adding to the complication, insurance providers distinguish between different types of flood protection while others offer blanket water protection packages.

Insurance providers categorize flood protection in the following manner:

• Groundwater: When groundwater enters a home through the foundation, floors or basement walls due to sudden accumulation of water after heavy rain or melted snow.
  
• Overland: When water floods a home at, or above, ground level from a lake or river. It’s most common during a natural disaster, severe weather or thaw.
• Sewer backup: When sewage floods into a home, entering through drains and toilets. This is common when a stormwater system is overwhelmed, especially in low-lying areas or floodplains.
  
• Tidal: When saltwater floods a home following a tidal wave or tsunami. Tidal flooding is not relevant for Mississauga residents.

What’s important is that you have flooding protection for your home.

Consider getting protection that covers every type of flood risk, particularly if you live in an area that has flooded in the past, or if you know the home is situated on a floodplain.

What does insurance for a home in Mississauga not cover? 

Many home insurance policies come with exclusions, which are restrictions to coverage for certain causes of loss.

It’s essential to understand any exclusions in your policy.

Common exclusions include:

• Being away from home: If you’re away for an extended period and damage or loss happens, you may not be covered. Be aware of the maximum amount of time that you can be away and still be covered by your policy.
• Earthquakes: Insurance providers define earthquake as earth movement from a tectonic event. It’s excluded under most home insurance policies. If you’re seeking protection for earthquakes, you can get additional coverage in the form of an endorsement.
• Flooding: While water damage is a peril that’s covered by most comprehensive policies, flooding is often an exclusion. When you add flood protection to a policy, know that insurance providers offer protection for distinct types of flooding: groundwater, overland, sewer backup and tidal. You may also have the option to get a water protection package, which will include coverage for a range of flood types.
• Previous damage: You’re unlikely to be covered for existing damage to the home at the time of an insured loss, especially if the damage took place before you took out the policy.
• Renters: Most home insurance won’t cover damage caused by people staying in the home who are not named on the policy, such as renters.  Occasionally, policies will contain an uninsurable peril which refers to perils that can’t be covered and could have been avoided. For example, if a home is built on a known flood plain, flooding may be listed as an uninsurable peril.