TORONTO — April 11, 2012 — Seventy-one per cent of Canadians admit they are not very familiar with their insurance policies, shows a study by Allstate Insurance Company of Canada, and this confusion can lead to people not having enough coverage or not getting the full benefits of their coverage when they need it most. Allstate Canada believes that Canadians can make better decisions about their home and car insurance if they better understand how rates are calculated. 

“Predicting the future with any accuracy is not an easy task, but that is exactly what insurance companies must do for all Canadians to be protected,” says Saskia Matheson, spokesperson for Allstate Canada. “The information we gather from customers, such as what kind of car they drive and how far they drive each day, helps us to make the best predictions possible.”

For example, while the purchase price of a full-size luxury hybrid SUV may be significantly higher than a standard pickup truck, the difference in the cost of insuring one vehicle compared to the other is actually quite small.  Luxury SUV’s are equipped with advanced technology that can assist drivers while on the road, and their safety features also provide more protection which means passengers are less likely to be injured in the event of a collision.  A standard pickup truck, not equipped with the technology or safety features of a luxury vehicle will be cheaper and easier to repair if a collision takes place, but it will not provide the same level of protection to passengers.

What determines car insurance?

There are two main categories when an insurer like Allstate Canada sets a car insurance quote: you and your car. 

The Driver

• Experience: A good record of collision-free driving will help lower insurance rates. Insurance companies will consider a driver’s record, including the number of years he or she has been licensed and accident free, whether there will be multiple drivers on the vehicle and if the car will be lent or borrowed, among other factors.
• Environment: How and where a driver is driving will also affect insurance costs. Does the driver live in a rural or urban area? Will the car be driven on a gravel road or on a highway? Will the driver use the car daily, for business or just for pleasure?
• Policy: In addition, a driver’s deductible, liability limit and any additional coverage will factor into the cost.
• Appetite for risk: Speeding tickets, collisions, fender benders or a history of convictions will increase the cost to insure the driver.

The Car

• Type, year and safety rating:  How much a car costs to repair, how likely it is to be damaged in an accident, as well as how safe the car is for its occupants are all factored into the cost of insurance. While two cars may cost the same amount of money, their safety features—or lack thereof—can mean a significant difference in insurance.

Most Canadian insurance companies use the Vehicle Information Centre of Canada, which collects data from insurers across the country to classify cars by cost to repair, risk of damage, passenger safety and history of theft, to calculate insurance rates. More information on how car insurance is calculated can be found at How Cars Measure Up.

What determines home insurance?

“A home is among the largest financial commitments a person will make, and the best way to protect it is to understand what your home insurance covers and what options are available to you,” says Matheson. “Plus, understanding how the premiums are calculated will inform you as to how much coverage is needed.”

Similar to auto insurance, Allstate Canada considers the home and the homeowner to determine home or tenant insurance premiums.

The Homeowner

• Policy: How much coverage is enough depends on how large your home is, how much it would cost to rebuild, and of course how much  and what kind of belongings are in the home. Taking the time to consult an insurance professional is the best way for homeowners to decide what coverage they need. A homeowner’s checklist can help keep track of the more expensive items and highlight belongings that may require additional coverage.
• Use of home: Do you operate a business out of your home? Are you renting out an apartment?
• Type of owner: Does the homeowner keep up with mortgage payments and maintenance of the home?   

The Home

• Type of home: Apartments, condominiums, semi-detached and detached homes are each considered separately because of size and possible threats to the home and its residents.
• Features of home: Older homes that have not been upgraded will be more expensive to insure. Electricity, wiring, sources of heat, the condition of the foundation and roof are all important considerations. Whether or not the home has a security system can also factor in.
• Location: Some neighbourhoods have higher theft rates or are in low-lying areas with a higher likelihood of sewer backups. Other areas are at risk of wildfires, tornados, high winds and hail storms.

“Of course there are factors, like natural catastrophes and the increasing costs of fraud, that  affect insurance rates, because unfortunately, when claim rates go up,  insurance companies are forced to increase rates to cover the costs,” says Matheson. “The important thing to remember is that the more transparent and accurate you can be with your agent when talking about your protection needs and concerns, the more accurate both the rate and the discounts can be that are applied, and most importantly, you will get the right coverage for you.”

To find out more about calculating insurance, visit www.goodhandsadvice.ca.

About Allstate Insurance Company of Canada

Allstate Insurance Company of Canada is one of Canada’s leading producers and distributors of home and auto insurance products. “The Good Hands Network®” enables consumers to contact Allstate Canada through one of 92 community-based Agencies, directly online at www.allstate.ca and through the Customer Contact Centre at 1-800-Allstate. Allstate Canada is committed to making a positive difference in the communities in which it operates. This year, Allstate Canada celebrates 25 years of partnership with MADD Canada in the effort to protect us all from impaired driving. In 2010, Allstate Canada, in partnership with the National Hockey League Players’ Association (NHLPA), created the Allstate All-Canadians program, a mentorship program designed to create future community leaders through the sport of hockey. Learn more about this program at www.allcanadians.com. To learn more about Allstate Canada, visit www.allstate.ca.

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For more information about calculating insurance rates or to speak with Saskia Matheson, Allstate Canada’s official spokesperson, please contact:

Jennifer Fox
Thornley Fallis Communications
T: 416.515.7517 x 350
C: 416.473.9565
fox@thornleyfallis.ca

TORONTO — March 13, 2012 — Water escape is becoming a growing problem for Canadian homeowners.  According to data from Allstate Insurance Company of Canada, sewer backup accounts for 39 per cent of water-related claims. Since flooding can lead to extensive and devastating damages to a home and property, Allstate Canada wants to help Canadians prepare for the upcoming spring thaw and the rainfall that comes with the season.

“Water seems to be the new fire as it is now the leading cause of property damage in Canada,” says Karen Benner, spokesperson for Allstate Canada. The Insurance Bureau of Canada estimates losses related to water damage cost insurance companies and Canadian policyholders at least $1.7 billion every year. “Even if your neighbourhood has never experienced problems with basement flooding or sewer backup, your home can still be at risk. Overloaded sewers can back up through household sewer lines and flow into basements or ground level apartments,” says Benner.

Sewer backups can happen during intense rainstorms when aging municipal sanitary and storm sewer infrastructures become overloaded. While there is no flood insurance in Canada that protects against rising water levels outside the home, Allstate Canada recommends that Canadians contact their insurance provider to find out what additions can be made to their basic homeowner’s policy to protect them from sewer backup and other damage. To further reduce the risk of water damage, Allstate Canada suggests that Canadians take the following precautions from goodhandsadvice.ca:

Safeguard your possessions

• Create a flood file containing information about household possessions and keep it in a secure place, such as a safety deposit box or waterproof container. This file should have a copy of insurance policies and contact information for the insurance agency.
• Conduct a household inventory. Be sure to keep a list of all major household items and valuables. Keep receipts from major appliances and electronics purchases. These documents are important when filing insurance claims. Allstate Canada provides a homeowner’s checklist at http://bit.ly/AllstateInventory.

Prepare for Water Escape

• Install a backwater valve to prevent sewage from overloaded sewer lines from getting into the house. As well, connect a sump pump, an electric pump placed in the basement of a home, to pump water from the basement outside, and install a battery-operated backup in case of a power failure. Installing a water alarm will also indicate if water is accumulating in the basement.
• Disconnect the house’s downspout from the sewer system by extending it 6 feet away from the house. A downspout is a home’s rain-carrying system and is designed to catch rainwater and melting snow from the roof and funnel water away from the foundation. Doing this will help reduce the amount of storm water that is sent through the combined sewers. Less storm water in the system will help prevent wastewater from backing up through sewer pipes where it can escape through floor drains or any other low lying plumbing fixtures in the basement.
• Don’t use washing machines and dishwashers during rainstorms since they will add more water into an already full sewer system. 
• Raise electrical components (switches, sockets, circuit breakers, and wiring) and appliances at least 12 inches above the home’s projected flood elevation.

Develop an Emergency Plan

• Have a safety kit on hand with drinking water, canned food, first aid, blankets, a radio and a flashlight. Allstate Canada provides a helpful list of Emergency Preparedness Kit Essentials online at goodhandsadvice.ca/en/build-an-emergency-kit.
• Plan and practice a flood evacuation route. Have a safe location to stay, such as a loved one’s home or a hotel. 

Water escape is a common challenge that many homeowners will face. However, by keeping a home in good repair, moving valuables out of water’s way and creating good drainage around the home, potential water damage can be prevented or reduced. Homeowners should contact their insurance agency to learn more about water damage and their homeowner’s insurance or visit www.allstate.ca.

About Allstate Insurance Company of Canada

Allstate Insurance Company of Canada is one of Canada’s leading producers and distributors of home and auto insurance products. “The Good Hands Network®” enables consumers to contact Allstate Canada through one of 92 community-based Agencies, directly online at www.allstate.ca and through the Customer Contact Centre at 1-800-Allstate. Allstate Canada is committed to making a positive difference in the communities in which it operates and has partnered with organizations such as Mothers Against Drunk Driving (MADD Canada), Crime Stoppers, United Way and Junior Achievement. In 2010, Allstate Canada, in partnership with the National Hockey League Players’ Association (NHLPA), created the Allstate All-Canadians program, a mentorship program designed to guide the next generation of Canada’s hockey youth. Learn more about this program at www.allcanadians.com to learn more about Allstate Canada, visit www.goodhandsadvice.ca or www.allstate.ca.

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For more information about water damage or to speak with Karen Benner, Allstate Canada’s official spokesperson, please contact:

Jennifer Fox
Thornley Fallis Communications
T: 416.515.7517 x 350
fox@thornleyfallis.ca

TORONTO — December 6, 2011 — ’Tis the season to make expensive gift purchases and be out of the house celebrating the holidays. According to Allstate Insurance Company of Canada’s data it’s also the season for robberies—with theft as the second most common claim made during the winter months. With that in mind, Allstate Canada wants to remind Canadians of ways to reduce the risk of theft and also make sure their valuables are properly protected by reviewing their insurance coverage this holiday season.

“Getting an alarm system is a great first step to protecting your home, but it’s a good idea to take some extra precautions in the event that the unexpected happens,” says Karen Benner, official spokesperson for Allstate Canada. “At this time of year, the valuables in your home often increases as you receive holiday gifts, so you’ll want to ensure any new items are properly insured.”

Although contents insurance within a home or tenant insurance policy covers expensive items like jewelry and electronics, there may be limits to the coverage. “A person’s policy should reflect what they own,” says Benner. “If someone recently bought or was given jewelry worth $10,000 and they only have a $5,000 limit for coverage under their current policy then an adjustment needs to be made.”

Benner recommends Canadians consult their insurance agent to determine any additional coverage they may need to protect items like a new computer, an engagement ring or expensive sporting equipment.

“We encourage Canadians to get into the habit of reviewing and updating their insurance when what they own has changed, particularly after the holiday season when they’ve received expensive gifts or made big Boxing Day purchases,” says Benner. Allstate Canada offers a Homeowner’s Checklist to help Canadians keep track of what they own and to calculate if they have enough insurance.

Allstate Canada wishes all Canadians a safe and happy holiday season and shares the following tips from goodhandsadvice.ca to protect their home and belongings:

• Do an inventory of recent purchases and holiday gifts received to estimate how much they are worth and check if additional coverage is needed.
• Take note of important information such as an item’s make, model and serial number where applicable. This information is important in the event it is stolen.
• Have expensive items received as gifts properly appraised to ensure they are covered by the appropriate amount of insurance.
• Keep sales receipts or any other purchase documents for larger items.
• Take photos or videos of your valuables and save the files to an external hard drive or online backup website so they are safe. Photos or videos can help later on when you make a claim.
• Store valuables in a secure location in the home.
• Make appropriate arrangements if you and your family plan to be away for the holidays, such as having a neighbour check the house while you are gone.
• Don’t discuss when you will be out of the house on social media—not everyone needs to know when you’re away from home!

About Allstate Insurance Company of Canada

Allstate Insurance Company of Canada is one of Canada’s leading producers and distributors of home and auto insurance products. “The Good Hands Network®” enables consumers to contact Allstate Canada through one of 93 community-based Agencies, directly online at www.allstate.ca and through the Customer Contact Centre at 1-800-Allstate. Allstate Canada is committed to making a positive difference in the communities in which it operates and has partnered with organizations such as Mothers Against Drunk Driving (MADD Canada), Crime Stoppers, United Way and Junior Achievement. In 2010, Allstate Canada, in partnership with the National Hockey League Players’ Association (NHLPA), created the Allstate All-Canadians program, a mentorship program designed to guide the next generation of Canada’s hockey youth. Learn more about this program at www.allstate.all-canadians.com. To learn more about Allstate Canada, visit www.goodhandsadvice.ca or www.allstate.ca.

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For more information about protecting your valuables during the holidays or to speak with Karen Benner, Allstate Canada’s official spokesperson, please contact:

Jennifer Fox
Thornley Fallis Communications
T: 416.515.7517 x 350
fox@thornleyfallis.ca

The Get to Know Your Insurance survey commissioned by Allstate Canada, and released today, reveals that 71 per cent of Canadians admit they are not very familiar with their home insurance policies. The survey also found an astonishing 13 per cent of people surveyed did not know if their home or tenant insurance covered them for damage caused by a fire, a basic coverage included in all home and tenant policies.

“What is clear from our survey is that Canadians are purchasing home and car insurance without taking steps to understand what they are getting,” says Saskia Matheson, spokesperson for Allstate Canada. “While we understand insurance policies may not offer the most entertaining read, if people are not fully aware of what their coverage entitles them to or the process to make a claim, then they may not get the full benefits of the coverage when they need it most.”

To encourage Canadians to better understand their insurance policies, Allstate Canada has launched its Get to Know Your Insurance campaign at goodhandsadvice.ca/learnmore. The website offers worksheets, guides, definitions and videos to help homeowners and drivers reduce the gaps in their knowledge about their insurance policies and to feel more confident in their protection.

“Almost all insurance purchases are mandated, whether by the government for cars or by mortgage lenders for homes. Our concern is that some people may be purchasing policies because they have to, without putting complete thought into what they may need some day,” says Matheson. “We don’t expect Canadians to become insurance experts, after all, that’s what we’re here for, but our customers do tell us that the more they know about their insurance, the more confident and prepared they feel when an incident does occur.”

The survey, conducted by Leger Marketing, revealed that car insurance policies are as misunderstood by Canadians as home policies. Nearly a quarter of all Canadians (21 per cent) say that after a collision they would simply fix the damage to their car and then mail the invoice to their insurance company. It is the law, however, that you must report an accident within 24 hours to your insurance provider. Also, when asked about their car insurance, only 33 per cent of Canadians say they are very familiar with their policy, while 54 per cent admit they are only somewhat familiar and 13 per cent are either not very familiar or not familiar at all.

Key Findings — Car Insurance

• Almost a quarter of Canadians (24 per cent) say they don’t know if they are covered for damage they cause in a car collision. This is standard coverage for all car insurance policies.
  • Surprisingly, of the 24 per cent who say they don’t know if they have this type of coverage, 12 per cent claim to be very familiar with the specifics of their car insurance.
  • 79 per cent of Canadians say they are covered for specific damage to their vehicle, but 48 per cent of these people also say they don’t know if they are covered for cracks to their windshield. Yet, specified damage coverage automatically includes coverage for cracked windshields.
• 54 per cent do not know if they are covered if they have a car collision while they were driving in the United States, but all Canadian auto policies will cover collisions that take place in the United States.
• 35 per cent of Canadians aged 18–34 don’t know if their car insurance would pay for damage or injury they caused in a collision, a basic coverage of all car insurance, compared to 15 per cent of Canadians aged 55–64 who say the same.

Key Findings — Home Insurance

• 45 per cent of Canadians say they are unsure or do not know if they are insured if someone slips on ice on their property.
• Only 18 per cent know that if they cause accidental damage to a friend’s home that they are covered through their home insurance policy.
• 29 per cent of 18–34 year olds can’t say if their home or tenant insurance covers them for damages caused by a fire compared to just five per cent of Canadians aged 55–64 who are unsure.

More findings from the Get to Know Your Insurance survey, as well as insurance myths explained are available at goodhandsadvice.ca/learnmore.

Allstate Canada advises Canadians get to know their insurance by reviewing their policies thoroughly, using the information provided on goodhandsadvice.ca/learnmore, and contacting their insurance agent with questions. An insurance agent will also guide clients through the process of filing a claim so they can feel more confident about what to expect when the unexpected happens and in receiving the coverage provided by their policy. Allstate Canada also recommends reviewing insurance policies when life undergoes a major change, such as on the birth of a baby or when adding a teen driver to an auto policy. “Your insurance coverage should change as you move through different stages of your life to ensure it best suits your needs and the needs of your family at all times,” says Matheson.

To download Allstate Canada’s Get to Know Your Insurance education materials, including a Homeowner’s Checklist, Easy-to-understand Insurance Definitions and three Life Stages Guides, or to watch Allstate Canada’s Get to Know Your Insurance videos, visit goodhandsadvice.ca/learnmore.

Allstate Canada Agents will also be hosting educational events in their communities this fall and into 2012 to help Canadians learn more about their insurance. To find out about community events in your area, visit allstate.ca to contact your local Allstate Canada agency.

Methodology
The survey was conducted by Leger Marketing between Monday, March 14, and Wednesday, March 16, 2011, using Leger Marketing’s online panel, LegerWeb. A sample of 1514 Canadians, 18 years of age or older were surveyed. A probability sample of the same size would yield a margin of error of +/-2.5%, 19 times out of 20. In order to qualify, respondents needed to have home, tenant, and/or car insurance.

About Allstate Insurance Company of Canada
Allstate Insurance Company of Canada is one of Canada’s leading producers and distributors of home and auto insurance products. “The Good Hands Network®” enables consumers to contact Allstate Canada through one of 93 community-based Agencies, directly online at www.allstate.ca and through the Customer Contact Centre at 1-800-Allstate. Allstate Canada is committed to making a positive difference in the communities in which it operates and has partnered with organizations such as Mothers Against Drunk Driving (MADD Canada), Crime Stoppers, United Way and Junior Achievement. In 2010, Allstate Canada, in partnership with the National Hockey League Players’ Association (NHLPA), created the Allstate All-Canadians program, a mentorship program designed to guide the next generation of Canada’s hockey youth. Learn more at www.allcanadians.com.

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For more information regarding the Get to Know Your Insurance campaign and survey or to speak with Saskia Matheson please contact:

Jennifer Fox
Thornley Fallis Communications
Office: (416) 515-7517, ext. 350
Mobile: (416) 473-9565
fox@thornleyfallis.ca

Every year thousands of Quebec residents pack up and relocate on July 1st, and yet fewer than 50 per cent of Canadian renters have tenant insurance, Statistics Canada reports.

“Insurance is not just for homeowners,” says Jacinthe Perron of Allstate Canada. “Even if you don’t own your residence you probably own everything in it, and those possessions added together can hold a lot of value. And it’s not just about your stuff; people are often surprised at how much tenant insurance covers them for in comparison to how little it costs.”

Allstate Canada reports that theft, water and fire damage account for the majority of claims made by renters. Renters without insurance would have to pay most, if not all, the costs of repairing or replacing their valuables out of their own pocket. Renters without insurance can also be held liable for the safety of their visitors. “People who rent should ask themselves if they can afford to be held financially responsible if a guest is injured on their property or if they can replace everything they own if it’s damaged or stolen,” says Perron.

If you think you don’t need insurance, consider this:

• Who will pay for the damages caused to your neighbour’s apartment if you accidentally leave the water running?
• Who will pay for you to stay in a hotel if your apartment is damaged in a fire?
• Who will pay to replace your laptop if it is stolen?

Every renter needs insurance. You can’t afford to be uninsured. Before visiting your Allstate Canada insurance agent to discuss tenant insurance, you need to ask yourself three important questions:

1. How much coverage do I need? — Tally up the cost of your possessions. Is a $25,000 policy enough to replace your clothes, shoes, furniture, linens, dishes and electronics?
2. What kind of coverage do I need? — You can tailor your coverage to suit your specific needs. If you live in a basement apartment, for example, you may want to add coverage for sewer back up to your policy.
3. Do I have special items to consider? — Do you have items that are of greater value than your policy will cover? For example, do you own a $5,000 engagement ring that is only protected by a $1,000 limit for jewelry on your current policy?

Allstate Canada wants you to protect your home and belongings. In addition to purchasing tenant insurance, here are a few helpful tips to remember during your move:

1. Make a checklist of all your belongings. Note both the condition and value of each item and even take photos if you can.
2. Set up your tenant insurance in advance so you will be covered the moment you move in.
3. If you are using professional movers, confirm the company has insurance and can pay if your belongings are damaged during the move.

For additional tips and useful advice, visit goodhandsadvice.ca, contact your local Allstate agency or call 1-800-Allstate.

About Allstate Insurance Company of Canada

Allstate Insurance Company of Canada is one of Canada’s leading producers and distributors of home and auto insurance products. “The Good Hands Network®” enables consumers to contact Allstate Canada through one of 93 community-based Agencies, directly online at www.allstate.ca and through the Customer Contact Centre at 1-800-Allstate. Allstate Canada is committed to making a positive difference in the communities in which it operates and has partnered with organizations such as Mothers Against Drunk Driving (MADD Canada), Crime Stoppers, United Way and Junior Achievement. In 2010, Allstate Canada, in partnership with the National Hockey League Players’ Association (NHLPA), created the Allstate All-Canadians program, a mentorship program designed to guide the next generation of Canada’s hockey youth. Learn more at www.allstate.all-canadians.com.

 For more information about protecting yourself before and after Moving Day or to speak with Jacinthe Perron, Allstate Canada’s official spokesperson, please contact:

Jennifer Fox
Thornley Fallis Communications
T: 416.515.7517 x 350
fox@thornleyfallis.ca