Three years ago we partnered with the Roger Insurance Group to expand our capabilities across Canada. More recently we engaged with a partner called Globex International to help us better serve clients with operations or assets outside of Canada.

 

Our customer service philosophy is to Educate, Advocate and Build Loyalty. When applied to business insurance this means; Educate our clients about risk and what tools (insurance or otherwise) are available to manage them; advocate on their behalf when dealing with underwriters, claims adjusters, etc., and build loyalty by going the extra mile to make people’s lives easier.

 

We have risk specialists to help our clients identify potential problems and strive to avoid claims. When claims do occur, we have a dedicated in-house claims team who go to bat to help ensure a fair process and settlement.

 

The business insurance market in BC has been relatively “soft” for the past several years. In our industry, a “soft” market is characterized by competitive pricing, broad coverage and relatively flexible underwriting. The opposite of a soft market is a “hard” market, characterized by reduced competition, higher premium rates and stricter underwriting. These are natural cycles in our industry and there are signs that we are in the midst of a transition from “soft” to “hard”. There are many contributing factors but, in a nutshell, when insurance companies are paying out more in claims and expenses than they collect in premiums, change is inevitable. These changes could be modest and incremental for properties and businesses with sound risk management practices and a good claims record, or more severe and sustained where the opposite is true. 

 

The hardening market will be felt more acutely in certain industries than others, in part because those industries have experienced falling rates for several years and diminishing profitability. In terms of construction, many insurance companies are scaling back the amount of wood frame risk they are willing to underwrite due to fire exposure. This means that larger wood frame projects are likely to experience higher premiums, deductibles and tighter warranties or conditions.

 

Water damage losses continue to be the single greatest cause of loss when it comes to multi-unit residential buildings. We expect to see rising premium rates and deductibles, especially for properties that have experienced frequent and/or severe claims. Insurers may also look more carefully at the age and condition of buildings and how well they are managed and maintained.

 

What are factors affect local insurance premiums?
Throughout much of BC, including on Vancouver Island, we have exposure to potentially catastrophic losses such as earthquakes, tsunamis and wildfires, which increasingly figure into Insurers premium calculations