Hail damage? Here’s how insurance can — or can’t — help

Generally speaking, in Alberta, weather damage to your home including that caused by hail, is covered by standard insurance. That can include, for example, internal damage where water came in through an unexpected opening caused by wind.

It’s good news for those whose properties were impacted by the weather system that tore through Calgary on Monday night — smashing windows, tearing through roofs and flooding floors.

But just what, and how much, are you entitled to? That depends on a number of things, according to Anne Marie Thomas, director of consumer and industry relations with the Insurance Bureau of Canada (IBC).

Thomas said while the majority of policies do cover extensive damage, situations can come up where companies might either deny coverage or limit the amount they cover.

“An insurance company might say, looking at your shingles, ‘This was a maintenance issue, we’re not going to replace the whole roof, we’re going to give you a percentage because, if this roof were maintained, the shingles might have been down and the damage may not have happened,'” she said.

Disputes, however, can occur. Thomas said each insurance company has a resolution process involving an ombudsperson who can work with the claims department and the policy holder to find a potential solution.

“But that’s a less frequent scenario,” Thomas said.

According to IBC, insured losses from hail damage have totalled nearly $3 billion between 2019 and 2023. The majority of that came from a hailstorm in Calgary in 2020 where there were approximately 70,000 insurance claims and more than $1.3 billion in insured damage.

In situations like, that where there are a significant number of claims because of extensive and widespread damage, claims can take a long time to process, according to Rob Barros with Alberta-based insurance brokerage Leibel. 

That can leave those whose homes or vehicles were damaged waiting in a lull, he said.

“When a storm like this happens, quite often it’s just a quadrant of the city. Those costs are spread amongst those who are insured with the same insurance company,” he said.

“Getting into the queue is essential because there’s going to be a number of contractors, a number of adjusters are going to be on the road and the sooner you can get in, the sooner you have a greater chance of being seen.”

two images, both of different car windows with cracks or smashed open.
Broken car windows are pictured in the community of Country Hills after hail tore through parts of northwest Calgary. (Submitted by Chas Young, James Young/CBC)

That lengthy wait is a worst-case scenario for Regs Kuzyk, a resident of northwest Calgary community Livingston, whose vehicle was significantly damaged.

“I work 8 to 5 every day … and there’s not a lot of transit up here [in Livingston] so I think for a lot of people out there it’s going to be a little bit challenging,” Kuzyk said.

Kuzyk said she filed a claim but hasn’t heard back. 

When it comes to car insurance, the policies aren’t as clear-cut as they are with homes. In some cases, people have policies that cover the body of the vehicle but not the windshield. 

Full coverage, however, is more commonly seen in Alberta.

“A lot of people do buy comprehensive coverage, especially on newer cars,” Thomas said. “But the rule of thumb is if it’s going to cost an insurance company more to repair the vehicle than the vehicle is worth, they’re likely going to write it off.”

Some people, however, don’t have insurance that covers their car from weather damage at all and they’d need to add that to their policy.

In certain cases, policies can also include the cost of a temporary vehicle while a car is being repaired. Again, it’s something that some people have within their policy and others don’t.

“Car insurance policies are only covered for damage caused by hail if you have purchased either comprehensive coverage or all perils coverage,” Thomas said.

“Now, those are options and not everyone may have chosen to buy those.” 

If you’ve suffered damage, experts say claims follow a typical process.

Once the loss has been reported, people will be assigned a claims adjuster by an insurance company. Even though it can take time for them to get back to you, you will be contacted, says IBC.

The claims adjuster will then look into the circumstances of the loss, assess the documents provided and explain the process.

According to the association, insurance companies might ask for a proof of loss form to list the property or the items that have been damaged or destroyed with the corresponding value or cost of the damage or loss. 

“Each claim is different and it all depends on the level of damage,” Thomas said. 

“Check with your insurance professional to make sure you have the coverage, especially on your car.”

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