The rise in extreme weather events due to climate change has seen a significant impact on insurance costs in Canada across the last decade plus. So far, it seems as though 2025 is showing no hint of bucking that trend.
A severe storm and mid-winter thaw in February that struck parts of Ontario, Quebec and Atlantic Canada, caused more than $260 million in insured damage, according to initial estimates from Catastrophe Indices and Quantification Inc. (CatIQ).
"With many Ontarians still grappling with the lingering impacts of the recent ice storm, residents have once again experienced a harsh winter with severe storms and floods that damaged or destroyed homes, vehicles and businesses," Amanda Dean, vice-president, Ontario and Atlantic at the Insurance Bureau of Canada (IBC), said in a statement.
"While parts of Quebec and Atlantic Canada were impacted by these events, the vast majority of damage took place in Ontario, with heavy snowfall, strong wind gusts, ice and rain causing significant structural damage.”
This estimate does not include damages from the late-March Ontario storm. According to a release, the IBC expects these damages to get worse every year.
Eastern Canada winter storm
A severe winter storm tracking south of the Great Lakes and into Atlantic Canada from February 15 to 19 resulted in heavy snowfall, strong wind gusts, ice and rain from southern Ontario to Newfoundland. This same region was impacted by a snowstorm just a few days prior, leading to heavy accumulation with little time to mitigate the impacts of the storms. As a result, there were many reports of structure collapses in Ontario and Quebec, along with other structural damage and power outages.
Numerous municipalities in southern Ontario also declared significant weather events, including the City of Toronto. More than 600 collisions were reported on roads in Ontario. Strong winds also caused power outages in Atlantic Canada, with approximately 6,000 customers without power on February 17 – most of these in Nova Scotia.
In total, the storm caused more than $90 million in damages.
Ontario and Quebec melt
The melt, from February 24 to 26, caused more than $160 million in damages. With the ground still frozen from the harsh winter, it was unable to absorb this melt, leading to flooding in low-lying areas, including many basements. Ice damming and water infiltration/basement leakage were the leading causes for claims.
Reports of damage also included roofs collapsing due to snow load. Notably, a six-storey parking garage in Ottawa had partially collapsed, trapping approximately 50 vehicles.
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
