Increasing rates adding to housing affordability pressures
Skyrocketing strata insurance costs need addressing by the provincial government before B.C.’s housing crisis worsens as a result, Union of B.C. Municipalities delegates voted Sept. 23.
Delegates voted 92% in favour of the resolution.
Coun. Craig Hodge said rates have gone up 40% and deductibles in some cases tripled.
A resolution before delegates said increased costs are making it harder for stratas, and non-profit housing providers have experienced substantial cost increases to insurance premiums and have found it difficult to secure insurers.
Victoria recently announced it is proceeding with several regulatory changes to address a strata insurance market that has left a number of strata corporations in the province struggling to afford or even secure insurance.
Effective Nov. 1, insurers will be required to provide strata corporations with 30 days' notice if they will not renew, or if they plan to materially change, an insurance policy.
The resolution said the B.C. Financial Services Authority’s (BCFSA) “BC Strata Property Insurance Market – Interim Findings” report identified several “fundamental issues” straining the strata insurance market that are not addressed in the province’s proposed amendments to the Strata Property Act and Financial Institutions Act, including a lack of capacity in the strata insurance market to support future expected demand.
read the Article HERE