5 Trendy Things Your Home Insurance Policy May Not Cover

Policy exclusions can be tricky. That’s why speaking with an insurance advisor when you’re seeking quotes is essential – it gives you a person to ask about exclusions and inclusions. But, for those of you who are new to Canada and considering a home insurance or renter’s insurance policy, we’re sharing some things that may surprise you when it comes to these insurance coverages.

A quick disclaimer before we dive in: we aren’t insurance advisors, and we aren’t qualified to sell insurance products. This information is broad and general in nature, designed to share information about insurance in Canada, it is not advice specific to you and your situation. You should always discuss your unique situation with a qualified insurance advisor before purchasing to get tailored advice, and again if your circumstances change.

Key Takeaways

• There are quite a few common and trendy things people do or buy that can have serious implications when it comes to your coverage.
• Your vacations, side hustle, pets, and choice of transportation can all impact your home or renter’s insurance policy. It’s important to be informed when making these decisions.
• We’ve partnered with Scotia Insurance to help newcomers find home and renter’s insurance policies that are affordable, customizable, and from a trusted company.

As promised, let’s dive into five common things you might do or buy that can have serious consequences when it comes to securing home or renter’s insurance. 

Heading Home For An Extended Vacation 

Many newcomers travel abroad for extended vacations, often to visit family or friends living in other countries – or sometimes within Canada. Regardless of where life takes you, leaving your home vacant for an extended period can impact your insurance coverage.  

This is really important to note, since home insurance is possibly one of the last things you want to think about when planning the fun you’ll have abroad. But your insurer might cancel your policy if they find out you’ve left your home unattended or they might not cover you if something goes wrong, so it is very important.  

The time you can leave your home vacant before it impacts your coverage will change from insurer to insurer so you will need to check your individual policy before leaving your home for any extended period.  

Generally, though, insurers will consider your house to be vacant if you aren’t home for 30 days or more. That said, most insurers want someone to check in on your home if you plan to be away for 48-72 hours, to make sure any damage from a water leak or other hazard is noticed as early as possible.  

House Hacking 

House hacking is having a moment – especially among the people interested in retiring early or really optimizing finances. If you don’t know what it is – it’s a glamourous word for making money off of your primary residence. Usually, it means renting out parts of your house.  

Now, if you live in British Columbia, this might be more relevant – since BC has the highest percentage of homeowners renting out parts of their home (26% of homeowners in BC do this!). But, there are plenty of homeowners across Canada who are also turning to home sharing, due to increasing costs of living.  

But your home insurance provider will want to know about it if you add tenants – and you should expect the cost of your insurance policy to go up, even if you’re renting it to a friend. This is something you need to factor in when you’re deciding how much rent to charge.  

Side Hustles  

There’s a growing percentage of Canadian residents that have a side hustle. For many – it’s to cover rising costs of living in Canada, or to save for financial goals like home ownership, a car purchase, or travel.  

But for home insurance companies, a side hustle can represent additional risks. So, your home insurance provider will want to know about your side hustle if you’re operating out of your home (even if you’re only working online and not seeing clients at your house). And some insurers may not cover you for your home-based business.  

If you start making money using your home, even online-only freelancing, reach out to your insurer to check your coverage. For freelancers, this might mean working from a rented office or co-working spaces if your insurance company won’t cover you.  

Also, remember, your home insurance policy may not cover you for your business operations. So, it’s important to get additional commercial insurance in addition to your home policy if you’re side hustling or working from your home.  

Certain Dog Breeds Can Complicate Coverage 

Canada is a country of pet owners, with more than half of Canadians owning a cat or a dog. 

Before digging into this topic, we want to clarify something – many of our team are dog owners and have a deep love of all furry friends. We aren’t saying these dogs are ‘dangerous’ and we don’t intend to add to the debate on the topic. All we want to get across here is that, for insurance purposes, owning these dog breeds can add a layer of complexity – even if your dog has never shown signs of aggression.  

The reason having a dog impacts your home or renter’s insurance policy is that your policy may cover you for any financial liability if your dog injures another person. This might be through a dog bite but could also cover situations where your dog runs onto the road and causes a car to crash into a building or your dog causes someone to fall over and break their arm.  

Some of the dog breeds that Canadian insurers may hesitate to cover include: 

• Doberman 

• Pit Bull 

• Rottweiler 

• Chow Chow 

• Wolf dog/wolf hybrid 

• Presa Canario 

• Akita  

• German Shepherd 

• Husky 

• Mastiff 

• Alaskan Malamute 

• Bullmastiff  

• Caucasian Shepherd 

• American Bulldog 

• Cane Corso 

• Great Dane. 

The lower the dog breed on this list, the more likely it is that insurance providers will offer coverage (i.e. Great Danes are included by more insurers than Rottweilers). Dogs that aren’t included typically don’t cause issues with insurers, though dog ownership generally may impact your premiums.  

Note that this doesn’t mean you can’t own these dog breeds, but it can cause issues with insurers, so it’s something worth considering.  Depending on the insurer, the consequences for having a breed deemed by underwriters to be a higher risk may range from insurers declining to cover you to higher premiums to the dog being specifically excluded from your cover.  

You should consider working with an insurance advisor if you own or plan to own one of these breeds.   

Your E-Bike or E-Scooter 

Coverage for regular (non-motorized) bicycles or scooters is usually uncomplicated – so long as they fall within your policy limits (i.e. Expensive bikes may not be covered automatically).  

But, it gets complicated for e-bikes and e-scooters and not all insurers cover the risks of owning them. Plus, there’s some confusion about the exact definition of an e-bike, since some have a throttle and don’t require you to pedal to use them. This blurs the lines between bicycle and motorcycle, which have very different insurance and compliance requirements. 

If you plan to buy an e-bike or e-scooter or you already own one, it’s a good idea to read your policy wording to work out if your new wheels will be covered by your insurer. 

What Else Isn’t Covered By Home or Renter’s Insurance?  

Your coverage will vary from insurer to insurer. So, we hope your key takeaway from this article is that you should be open and honest with your insurer when buying your insurance to make sure you’re properly covered. It’s also worth considering how what you buy and what you change in your home can impact your policy – and, again, information is your friend here!  

Want a free quote from our trusted partner, Scotia Insurance? Get yours here and save with an online quote or bundling with auto insurance.