Common insurance questions

Applying for insurance

Why do people buy home insurance?

Insurance is the best-known way to manage risks. Buying a home is expensive, so it’s a good idea to protect your investment while safeguarding against the risks your home presents. Insurance is also often required by mortgage lenders.

What type of home insurance is right for me?

The type of policy depends on your living situation. The three main categories of home insurance are homeowners, tenant and condo insurance, but Square One also offers specialized products for town houses, duplexes (or semi-attached), rental properties and vacation properties.

How do I get a quote for home (house, tenant, condo) insurance?

The easiest way to get a home insurance quote is online. You can get an online quote from Square One in as little as five minutes.

How do I get a quote for car insurance?

Square One offers online car insurance quotes in Ontario and Quebec. Just provide some information about you and your vehicle, and you’ll be able to get a personalized quote in about five minutes.

How do I value my personal property?

Try to collect receipts for more expensive belongings where possible and take a photo of them on your phone so you have a record. For a more comprehensive record, check out Square One’s home inventory worksheet.

I’m moving, what should I do?

With Square One, you can transfer your policy to your new home online or over the phone. That way, there’s no gap in your coverage and your property is insured while in transit.

What is an insurance premium?

An insurance premium is the amount of money you pay in exchange for coverage. Premiums are determined on a case-by-case basis and reflect the risk associated with the property or vehicle. At Square One, you can choose to pay your premiums monthly or annually.

How can I get a discount on home insurance?

Increasing your deductible and not claiming for small losses are the easiest ways to get a discount on your premium. Square One also makes it easy to eliminate unnecessary coverages, and the impact of rate increases is reduced for long-term customers. For more tips, visit saving money on your home insurance.

Can insurance be written off on taxes?

In some cases home insurance can be written off on taxes, but be sure to double check with your accountant.

How often should I review my insurance policy?

If you experience a major change related to your home or car, you should consider whether it’s necessary to update your insurance. It’s your responsibility to inform your insurance provider about major changes. Those might include occupancy changes or renovations (for home insurance) or a sudden increase in how much you drive (for car insurance).

Premiums

How are home insurance rates determined?

The insurance provider will take into account your personal details (like the age, condition and location of your home), as well as your claims history and the coverages and deductibles you have requested when determining your premium.

How are car insurance rates determined?

Car insurance rates are based on many factors associated with the vehicle and drivers. The estimated cost of repairing or replacing the vehicle is an important aspect. Local factors like accident and theft rates, for example, are also key. Drivers with lots of experience and few accidents or driving-related offenses will generally pay less.

How does my credit score affect my rates?

In some cases, insurance providers will look at an applicant’s credit score as part of their rating process, though this isn’t permitted in some jurisdictions. Depending on the location and policy type, Square One may ask your permission to do a soft credit check as part of the application process.

In any case, it’s a good idea to review your insurance annually when your policy renews.

Do I get a discount if I’ve had home insurance for more than ten years and I’ve never had a claim?

Every insurance company calculates their rates differently. Some like to offer customers all kinds of different discounts, including claims-free, age, number of years living at the same address, etc. At Square One, we take these factors into consideration when we are determining your monthly premium — the specific discounts don’t appear separately, but they’re in there.

Our system calculates it all behind the scenes. Because each company offers different insurance protection and different ways of calculating their prices, it’s important to make sure you are comparing apples to apples.

Why do insurance premiums increase every year?

In addition to factors specific to you (like changes in claim history), you may see an increase due to inflation, or because of an increase in the number of claims in your area across the industry as a whole. Those losses must be paid for from your insurer’s only source of income — your premiums. That said, premiums do not always increase — they can decline as well, depending on how severe losses are (or aren’t) over a period of time.

What are the benefits of insurance history?

A continuous insurance history shows your insurance provider that you’re willing to manage the risks faced in owning or renting a home, or operating a vehicle. Having no gaps in your coverage also means you’re never left unprotected. And, if you’ve held continuous insurance for a number of years without making any claims, this may entitle you to lower premiums — because insurance providers will see that you do a good job of managing your risk and preventing avoidable losses.

Insurance industry

What’s the difference between an insurance agency and an insurance company?

An insurance agency (or brokerage) markets and sells insurance to customers on behalf of insurance companies (or underwriters) that actually offer and write insurance policies. In exchange for premiums paid, the insurance company agrees to pay resulting claims insured under the policy. For facilitating the sale of policies, the insurance agency receives a commission or fee from the insurance company. Square One Insurance Services is an insurance agency and its home insurance policy is underwritten by The Mutual Fire Insurance Company of BC. Car insurance is underwritten by Zurich Canada.

Are insurance agencies regulated?

Insurance is one of the most highly regulated industries in the world. Home insurance is regulated both provincially and federally.

Are insurance companies regulated?

The short answer is yes, insurance companies (or underwriters) are highly regulated. The type of regulator that supervises a specific insurance company (underwriter) depends on whether that company is registered and operates on a provincial or federal basis. It’s probably no surprise that provincial insurance companies are supervised by provincial regulators and federal insurance companies are overseen by a federal regulator. In BC, the Financial Institutions Commission (FICOM), the regulatory agency of the Provincial Ministry of Finance, is responsible for ensuring companies are properly authorized. It supervises the solvency of companies, addresses market conduct issues and maintains a registration system for companies operating in the province.

Federally, the Office of the Superintendent of Financial Institutions (OSFI) supervises insurance companies. It has many of the same responsibilities as provincial regulators. In addition, OSFI also keeps track of broader issues that might have a negative impact on the insurance industry. Square One’s home insurance is underwritten by The Mutual Fire Insurance Company of British Columbia, which is a provincially registered insurance company serving BC, Alberta, Saskatchewan, Manitoba and Ontario.

Are insurance companies rated by independent third parties?

Yes, there are several independent rating agencies in the industry. A.M. Best is one such agency and it issues the Best’s Financial Strength Rating for insurance companies. This rating is an independent opinion of an insurer’s financial strength and ability to meet its ongoing insurance policy and contract obligations. It is based on a comprehensive quantitative and qualitative evaluation of a company’s balance sheet strength, operating performance and business profile.

Insurance companies are rated on a 16-level scale, with A++ being the best rating and F being the worst. Companies with ratings of A++, A+, A, A-, B++ and B+ are deemed to be secure. Anything lower than B+ is considered to be vulnerable by A.M. Best. The Mutual Insurance Company of British Columbia, which is Square One’s home insurance underwriter, has a Best’s Financial Strength Rating of A-.

How am I protected if there is a problem with my insurance company?

Insurance companies are required to have their own insurance; this is known as reinsurance. Reinsurance is designed to protect a consumer’s loss if an insurance provider is unable to pay a claim.

Is it common for insurance companies to fail?

In the Canadian market, if an insurance company fails, there is a national guarantee fund that steps in to fulfill the claims obligations of the failed insurance company. This national guarantee fund is called Property and Casualty Insurance Compensation Corporation. In Canada, it is uncommon for insurance companies to fail. In fact, Canada has not seen an insolvent insurance company in over 20 years. You can validate this information by visiting the PACICC webpage on the topic.

What are the different types of insurance providers?

Generally, you can buy insurance from three types of providers:

• Insurers (a.k.a. insurance companies or carriers). These are the companies that design insurance products and underwrite them.
• Agents. These are companies or individuals selling policies directly on behalf of an insurer.
• Brokers. Brokers are individuals or companies that don’t directly represent any insurers. Instead, they have a network of insurers with whom they’re contracted. They’ll collect application information from their customers and try to find the best insurer in their network for that customer.

Coverage

Does home insurance include earthquake coverage?

In Canada, some home insurance polices offered by Square One automatically include earthquake coverage at no additional cost. You can also customize your earthquake deductible so it’s affordable and fits your needs.

Does home insurance cover dog bites?

Your personal liability coverage may cover injury caused a dog bite, depending on the limit of your coverage. It’s important to note that not all home insurance providers will cover dogs (or dog bites) anymore, so it’s best to check with your home insurance provider if you’re concerned.

Does home insurance cover engagement rings and other jewellery?

Square One doesn’t automatically include jewellery coverage so customers can save money if they do not want to include coverage for jewellery. However, customers with jewellery can add this coverage and even personalize the limit of coverage to meet their individual needs.

Does home insurance cover foundation repair?

Only if the damage is caused by a covered loss, like an earthquake. Home insurance does not cover the cost of repairing foundation damage due to poor construction, sinking, settling, wear and tear, cracking, or aging.

Does home insurance cover tree removal?

Most home insurance policies will provide coverage up to a certain amount for the cost of removing trees that falls onto your property from an adjacent premises that you do not own. However, home insurance would not cover the cost of optional tree removal.

Does home insurance cover water damage?

That depends on the cause of loss — a burst pipe is treated differently than rising groundwater. Your policy may exclude one or both of these types of loss, so be sure to know what you’re covered for and what you’re not. If you need help understanding your policy, why not check out Square One’s transparency page, where we explain the most important aspects in plain English.

Does home insurance cover damage to a broken window?

Usually, glass is covered under a home insurance policy, though you may have to pay a deductible on your policy equal to or greater than the value of the damage to your windows. In these cases, it may not make sense to file a claim. At Square One, your first glass claim has no impact on your claims-free status.

My stuff was stolen from my car, is it covered under my home insurance?

Yes. You’ll have to pay a deductible if you decide to make a claim, so make sure the value of your loss exceeds your deductible. You may also need to show that the car was locked and secure at the time of the theft.

Can home insurance cover mould?

Home insurance generally does not cover damage caused by mould, nor mould removal. However in some cases, mould remediation may be covered if it results from a covered loss (like a sudden pipe burst) and must be cleaned up as part of the restoration process. Ongoing mould, like mould resulting from a leaky shower over many months, is generally excluded from home insurance policies.

Do all home insurance policies exclude acts of God?

“Acts of God” is an old-fashioned term usually used to describe perils that are outside of human control (like lightning and flooding). Insurance policies don’t use this term anymore as it’s too vague. Instead, your (all-risk) policy contains a short list of specific exclusions.

How does home insurance pay for damages in the event of a natural disaster?

That depends on the type of disaster in question, and the coverages and exclusions specific to your policy. For example, your policy may include earthquake coverage, but exclude damage caused by rising groundwater. These details can be found in your policy document.

Are my roommates covered by my insurance policy?

No. With Square One, each unrelated roommate needs to purchase their own separate policy.

Does home insurance coverage damaged caused by pests or vermin?

No, damaged caused by mice, termites, or other pests is excluded from home insurance coverage.

Does home insurance cover identity theft or cybercrime-related losses?

By default, most home insurance policies won’t cover losses arising from identity theft, online scams, or similar crimes.

However, Square One offers identity theft insurance. This is an optional add-on to home insurance policies that covers costs associated with identity theft, credit card theft, and similar incidents.

Does home insurance cover damage to service lines?

Most home insurance policies don’t cover service lines, even though homeowners are responsible for the service lines on their property.

Square One offers service line protection, which adds coverage for service lines (even damage arising from wear and tear).

Do I need to inform my provider if I’ll be away from home?

You don’t need to tell us that you’ll be away from home as long as the absence is temporary (like a vacation). However, you do need to tell us if your home will become vacant (meaning unoccupied with no plans for someone to return).

If you’ll be away for more than 7 days, we do require you to make arrangements to ensure that adequate heat is maintained, to prevent freezing pipes. If that’s not possible, shutting off the water and draining the pipes is alternative.

Is there coverage for business property or activities?

By default, there is no coverage for business property or any business-related activity. However, you can add coverage for business property just like any other specialty property when you buy a home insurance policy.

If you need something more extensive, Square One also offers home business insurance, which can cover business property, interruption, and liability.

What’s the difference between contents and personal property coverage?

There is no difference between the terms “contents” or “personal property.” These are just two different ways that insurance providers describe your movable belongings.

Claims

Should I be worried about reporting a claim?

You should never be reluctant to contact Square One to report a potential claim. That’s why you have home insurance and why we’re here. It’s best that you contact us even if you ultimately decide not to proceed with the claim. That way we can help assess the situation and determine your best course of action.

What if I can’t provide all required information?

Speak with your adjuster if you’re unable to provide all required information. For example, if you don’t have original receipts or invoices as proof of ownership, the adjuster may accept product manuals or photos.

What is an insurance deductible?

A deductible is the amount of money you have to pay toward a claim before your insurance policy covers the rest. For example, if your home suffers a fire causing $15,000 worth of damage and your deductible is $5,000, your insurance provider will cover $10,000 of that $15,000. With Square One, because you’re able to choose your own coverage limits and deductibles, the deductible is applied to the coverage limit rather than the loss amount when a claim exceeds the coverage limit.

Does a deductible apply to my claim?

Yes, a deductible applies to most claims. To determine the amount, you will need to refer to your policy declaration. It specifies what amounts you selected by loss type. For example, you may have a $2,500 water backup deductible and a $1,000 standard deductible.

What type of information will be required to settle a claim?

You’ll need to provide your adjuster with the details of your loss, including the value of the property that has been lost or damaged. In some situations, you may also be required to provide proof of value or ownership. Usually, you will be required to:

• Review and sign the Personal Information Protection and Electronic Document Act Consent Form.
• Prepare a written statement of loss, describing what happened in your own words.
• Complete the schedule of loss form, providing details about the lost or damaged property.
• Attach proof of ownership for lost or damaged items.
• Secure and provide quotes for replacement of lost or damaged items.

How do I know if my claim is covered?

Your adjuster will let you know whether your claim is covered or not during the claims process.

How long will it take to settle my claim?

Most home insurance claims are settled within 60 days. Your adjuster will work with you to record the details of your loss and determine the best way to replace or repair your property. Simple, small claims can be completed in a week or less.

How will a claim affect my insurance premiums?

Making a claim on your home insurance policy may cause your premium to rise when it comes time for renewal. Typically, you can expect an increase between 5% to 25%. For this reason, you may choose not to submit a claim for small losses, especially if your policy has a large deductible.

What happens if I have multiple claims?

Home insurance premiums are based on the assumption that the average person will have no more than one claim every 5 to 7 years. If you have more frequent claims, you will likely experience one or more of the following:

• A substantial increase to your policy premiums.
• A change to your policy terms and conditions.
• A notice of cancellation or non-renewal.

If you receive a notice of cancellation or non-renewal, you will have the difficult task of finding a new provider. You may end up having to insure with a specialty company at much higher rates.

Should I make a claim for a small loss?

Your policy has a deductible, which is the portion of the loss you’re responsible for. If your claim is less than your deductible, which is noted on the first page of your Policy Declaration, it likely doesn’t make sense to make a claim. When you apply for insurance, your claims history has an impact on the premium you are charged, so again, making small claims may not be in your best interest. That said, insurance is designed to protect you, so it’s up to you.

Can I change my mind when filing a claim?

Yes. Simply inform your insurance provider that you no longer wish to pursue a claim.

What’s the difference between a claims adjuster and an agent?

An agent is an employee of an insurance provider who advises clients on their insurance needs. An adjuster works with customers in the event of a claim to record the details of the loss and determine the best way to repair or replace property.

Do I have to use the contractor that the adjuster brings in or can I choose my own?

You are generally free to choose your own contractor, provided your adjuster is satisfied with the pricing that is offered and the ability of the contractor to perform the work that needs to be done.

What’s the difference between actual cash value and replacement cost coverage?

Actual cash value refers to the depreciated worth of an item. Basically, its value considering its age, or what it might be worth if sold on the open market.

Replacement cost refers to the cost of replacing an item with a similar new item of the same kind and quality.

Square One provides replacement cost on personal property coverage and guaranteed building replacement coverage when customers insure to our suggested limits. Your policy wordings describe situations in which an actual cash value settlement will apply instead.

On what basis will my claim be settled?

In most situations, claims are settled on a replacement cost basis. That means the actual cost to repair, replace, or rebuild, whichever is less, with like kind and quality. If the exact item is no longer available, it would be replaced with a comparable item of similar kind and quality. If you’d like to upgrade an item, you can do so, but you would need to pay the difference.

Do I have to replace all lost or damaged items?

If you decide not to replace all the items, most policies will offer you the actual cash value for those items. Actual cash value is calculated as the replacement cost less depreciation. For older items, substantial depreciation will result in a low settlement. Square One policies, on the other hand, will apply limited depreciation of no more than 50% to most items that you choose not to replace.

I’ve experienced a break-in. What should I do?

First, call the police and report the crime. Then, call your home insurance provider and record the details of your loss while it’s fresh in your memory. Your adjuster will begin the claims process and work with you to determine the best way to repair or replace your property. If the break-in has left your home vulnerable to further losses, take reasonable steps to mitigate that risk.

What is the time limit for reporting a claim?

Regardless of the type of policy, it’s your responsibility as the policyholder to report losses as soon as possible. However, there are some hard time limits for reporting claims; if a loss isn’t reported within these limits, it may not be covered.

For home insurance policies, claims must be reported no later than 120 days after the loss occurs.

For car insurance in Ontario, accidents involving injury or property damage must be reported to the insurance provider within seven days unless something makes this impossible. If there is any injury, or the total property damage seems to be more than $5,000, it must also be reported to police as soon as possible.

In Quebec, losses must be reported as soon as possible. For injury claims with the SAAQ, you have a maximum of three years from the date of the accident, injury, or death to file a claim.

What steps should I take immediately after a loss?

Following any kind of incident, the most important thing is to ensure everyone present is safe. Once that’s been established, do what you can (again, considering your own safety) to prevent any further damage from occurring.

If any sort of crime was involved, or if it was a traffic accident involving injury or serious property damage, report the incident to the police. It’s also best to inform your insurance provider as soon as possible, even if you decide not to follow through with a claim.

Homeowner

How do I get homeowner’s insurance?

You’ll need to complete an application containing details of your home and your insurance history. If the insurance provider accepts the risk, they’ll issue you a policy, though sometimes you’ll need to meet certain conditions first. To get started, get a quote online quote from Square One in just five minutes.

How much is homeowner’s insurance?

The cost of your premium depends on a variety of factors, the most important of which are the type of coverage you select and the cost to rebuild your home in the event of a loss. If you own a condo, you can get insurance from Square One for about $40/month. If you own a detached house, you can get house insurance from Square One for about $75/month.

How much homeowner’s insurance do I need?

With Square One, you can choose your insurance limits. We provide a recommended limit based on how much it would cost to rebuild your home. If you insure to this limit, we include Guaranteed Building Replacement Coverage. This means we guarantee to replace your home in the event of a loss, even if it costs more than the limit of your coverage.

Is homeowner’s insurance required by law?

Homeowner’s insurance is not required by law. However, if you finance your home with a mortgage, chances are the mortgage provider will require you to have insurance before they’ll release funds. This is to protect their investment in your home. But, if you’re buying a house outright, you have every right to self-insure.

I’m planning on renovating my home. Will I need to change my insurance?

Renovating a home presents a different set of risks to your insurance company. Make sure to contact your provider and tell them about all the changes you’re planning on making before you start. There may be additional fees to pay.

What do home insurance inspectors look for?

Risks. A home insurance inspector may visit your property to check its condition and to check for any hazards which may increase the possibility of losses. With Square One, you can skip this process by uploading photos directly to your online account, thus saving on inspection fees.

Does my policy cover me if I damage a neighbour’s property?

If you accidentally damage someone else’s property, your personal liability coverage would pay legal costs and damages for which you’re liable. There would typically have to be a lawsuit first, though some policies may cover voluntary payments in some circumstances (particularly medical payments).

Are there any exclusions for homes in high-risk areas?

Aside from general policy exclusions that apply to everyone, most insurance providers do designate certain high-risk areas in which certain coverages may not be available.

For example, in areas that are known to experience frequent floods, overland flood coverage might be unavailable. Or, it may carry a higher deductible to offset the risk.

Will my policy cover short-term rentals (like Airbnb)?

Policies from Square One can cover short-term rentals. However, you’ll need to let us know beforehand that you plan to rent out your home in order to have coverage.

What happens if I leave my home vacant for an extended period?

Homes that are left vacant for long periods may be difficult to insure. In any case, make sure you inform your insurance provider about a vacancy; most providers (including Square One) can insure homes that become vacant within certain limitations.

It’s important to understand the difference between “vacant” and “unoccupied,” however. “Vacant” means that the home’s occupants have moved out with no intention to return. If you go away on vacation, even for months at a time, your home isn’t vacant as long as you do, in fact, plan to come back.

Are there specific insurance requirements if I have a wood-burning stove or fireplace?

Wood-burning stoves or fireplaces do generally come with certain requirements. Insurers will want to see that the device is certified for safety by an organization like Underwriter’s Laboratory or Warnock-Hersey. They may require that the device be inspected by a professional as well. If the device isn’t certified, the home may not qualify for coverage until this has been addressed.

A stove or fireplace often results in higher insurance premiums even if it is approved.

Is my secondary suite covered?

Most providers, including Square One, will cover homes that have secondary suites as long as the suite has been disclosed (and approved).

Tenant

How much is tenant insurance?

Tenant insurance is usually cheaper than homeowner’s insurance. With Square One, policies start from only $15/month and you can customize your coverage to suit your insurance needs. Don’t own any specialty property? With us, you won’t pay to insure it.

What does tenant insurance cover?

Tenant insurance covers your personal property, as well as your personal and premises liability. Personal liability protects you against the cost of being sued for damage or injury that you cause to others anywhere in the world. Premises liability protects against amounts you are legally responsible to pay for unintentional injury to someone or damage to their property arising from the ownership or use of your home.

Tenant insurance also provides coverage for Additional Living Expenses if you’re forced to temporarily leave your home in the event of an insured loss.

I don’t have a lot of things to protect, so why should I buy tenant insurance?

When you start adding up what it would cost to replace your clothes, shoes, accessories, and the contents of your kitchen and bathroom, you may be surprised. Use our simple home inventory worksheet to get a rough idea of what your possessions are worth. Tenant insurance not only protects your personal possessions, but also your liability exposures. If you host a party and someone slips and falls on your rug, you may be held liable. While we all like to think that our friends would never sue us, is this a risk you’re willing to take?

Am I covered under my landlord’s insurance policy?

Your landlord’s insurance policy only protects the rental property itself, and in some cases, the landlord’s property within the house or unit (like the fridge or the washing machine). To protect your own personal property, you’ll need a tenant insurance policy.

What is liability protection and why does my landlord require it?

To be liable for something means that you’re legally responsible for it. Liability protection covers you against amounts that you might be required to pay to others as compensation for property damage or bodily injury that you cause by accident. Square One policies cover your premises (accidents at your home) and personal liability (accidents anywhere in the world).

Landlords may want to see proof of premises liability insurance in case someone injures themselves at your home. For example, if your guest is injured in a fall and decides to seek compensation, your premises liability coverage would respond to the resulting lawsuit.

Who should consider buying tenant insurance?

Tenants who want to protect valuable personal possessions (such as laptop computers, smartphones, etc.) as well as their liability exposures, should consider purchasing tenant insurance.

Does my tenant insurance cover my property if it’s damaged or stolen away from home?

Yes, your personal property coverage applies even while your possessions are away from home, as long as it’s only temporary. If you have property stored permanently away from home (like in a storage facility or at a vacation home) it may not be covered under your tenant insurance policy.

What’s the easiest way to estimate the value of my possessions?

The most straightforward way to estimate the value of all your belongings is to complete a home inventory worksheet. Go room-by-room, recording the estimated replacement cost of all your stuff. Remember, replacement cost is the cost of replacing that item with a similar new one — not what you think the old item is actually worth.

Does my policy cover my if I accidentally damage the landlord’s property?

Tenant insurance does cover some forms of accidental damage to the landlord’s property. However, there are some limitations. For example, the tenant’s liability would have to be clearly proven for their policy to cover the damage.

Tenant’s protection coverage, an optional coverage from Square One, lets a landlord claim against their tenant’s policy for damage the tenant caused. The tenant only has to pay their deductible, and their policy would cover the cost of repairs (with no increase in their premium).

What proof of insurance do landlords require?

Landlords often require their tenants to maintain active tenant insurance policy. To prove that they do, tenants would have to provide a certificate of insurance. Any insurance provider will happily provide such a certificate upon request.

Square One customers can download a certificate of insurance any time by logging in to their account.

What happens to my tenant insurance if I move during the policy term?

If you have an active tenant insurance policy and you move to a new home, you’ll need to inform your insurance provider. They may be able to move your policy, or they may ask you to cancel your old one and start a new one. In either case, you may notice a change in price due to new rating factors in your new location.

How does getting a pet affect my tenant insurance?

Adding a pet (particularly a dog) to your home will have a small effect on your tenant insurance. You will need to inform your insurance provider about your new pet, and your premiums may increase slightly afterwards.

This is because tenant insurance includes liability coverage, which can cover your legal costs and damages if your pet injures someone or damages their property.

Can my landlord require me to name them on my policy?

Landlords are allowed to require that their tenants have active tenant insurance during the entire length of the tenancy, and they can obviously require proof of the same.

However, a landlord can’t be listed as a named insured on a tenant’s policy, because they have no insurable interest — the policy covers the tenant’s liability and belongings. A landlord may be listed as an “interested party,” which just means that they’re informed if the policy is cancelled.

Condo

What is Condo Owner’s Protection coverage?

Condo Owner’s Protection (COP) is Square One’s premium insurance offering for condo owners. COP includes Coverage for Upgrades and Additional Condo Owner Protections.

• Coverage for Upgrades:If you live in an older building, upgrades may have been done before you purchased the unit. In the event of a loss, you may find that the condo corporation is only willing to replace your marble countertops with the Formica laminate of the original build. Square One will help you determine if upgrades have been made to your unit and make sure they’re properly covered.
• Additional Condo Owner Protections:Condo Owners Protection also protects against any shortfalls in your condo corporation’s insurance which they decide to levy against you and amounts assessed against your unit for repairs to common areas of the building. Finally, if your condo corporation is forced to make a claim with their insurer, Condo Owner’s Protection covers you in the event that they decide to spread the cost of their deductible between the unit owners.

What does condo insurance cover?

Condo insurance covers your personal property, as well as your personal and premises liability. Some policies (like those with Square One’s Condo Owner’s Protection) also protect against assessments made against your unit by your condo corporation as a result of covered losses, as well as any upgrades made to your unit by you or previous owners. Note that none of this is covered by the insurance provided by your condo corporation.

What does my condo corporation cover?

Condo corporations generally provide basic insurance that covers the cost to rebuild your unit and any common areas to their original standard in the event of a loss. To protect your property, liability and any improvements made to your unit, you’ll need to purchase additional coverage.

How much condo insurance do I need?

That depends on the value of your personal property and whether your condo has any upgrades or improvements. (Renovations are usually not covered by your condo corporation’s policy.) As a rough guide, $30,000 in personal property, $25,000 Additional Living Expenses and $2,000,000 in liability should cover a studio or one-bedroom apartment.

Is condo insurance mandatory?

No, condo insurance is not mandatory. In fact, most condo corporations provide insurance for the building itself. However, owners have little to no control over the details of these policies, and they provide no coverage at all for the owner’s belongings, unit improvements or liability. You’ll need your own condo insurance for this.

How do I determine the value of upgrades and improvements?

If you have any renovations done to your condo unit, make sure to keep all of the receipts, contracts, and other documentation. That’s the easiest way to know what they’re worth.

If you bought a condo that already had improvements made, but the previous owner didn’t provide any documentation, you’ll simply have to estimate.

Speak to your insurance provider; they’ll be able to help you come up with a limit of coverage that’s appropriate for your condo.

What is a master policy, and where can I find it?

A condo building’s master policy is the insurance policy purchased by the condo corporation that covers the building’s physical structure, including common areas and individual units as defined by the building’s declaration. The master policy wordings will be available upon request from the condo corporation’s management.

Does my condo owner policy cover common property like lobbies or parking garages?

Your individual condo owner policy won’t cover any common property. Common property, like lobbies, parking areas, elevators, and hallways, falls under the condo corporation’s master policy.

If I rent out my condo, do I need a different insurance policy?

Kind of. You’ll still need a personal condo insurance policy to cover your unit’s improvements or any loss assessments made against your unit. However, you’ll need to inform your insurance provider that you’ll be renting out the unit. Your provider may be able to offer you landlord-specific coverages as well, such as rental income or landlord’s property coverages.

Does my condo insurance cover me if I’m liable for damage to another unit?

Yes, condo insurance will cover you if you’re liable for accidental damage to other units within the property.

Are built-in appliances covered by the corporation’s policy or mine?

Whether the appliances in your condo are covered by the corporation’s master policy or your personal policy varies between different condo properties. Sometimes, fixtures and appliances are indeed part of the standard unit covered by the master policy. Other times, you’ll need your own contents coverage for them.

In either case, if you’ve upgraded the appliances in your unit, you’ll need your own policy to cover those upgrades.

Landlord

What type of insurance policy is required for a rental property?

If you’re renting out your home, you’ll need a landlord insurance policy. This is essentially the same as a homeowner’s policy, but may include additional coverages for things like lost rental income or landlord’s property. Landlord policies are typically more expensive than homeowner policies due to the higher-risk nature of rental homes compared to owner-occupied homes.

Does my policy cover loss of rent if I have a tenant and the unit becomes uninhabitable?

Most insurance providers offer optional rental income coverage for landlord policies. If you have rental income coverage, your policy will reimburse your lost income if the rental home can’t be occupied following an insured loss.

How is landlord insurance different from standard homeowner insurance?

The main difference between landlord insurance and homeowner insurance is that landlord insurance comes with options for landlord-only coverages. For example, a landlord policy may come with rental income coverage. It’s important to inform your insurance provider if you’ll be renting out a property, as they need to know about the home’s occupancy to calculate an accurate premium.

Am I covered for lost rental income after a loss?

Most landlord insurance policies don’t include rental income coverage by default. If you haven’t added rental income coverage to your policy prior to a loss, you won’t have any coverage for lost rental income while the home is uninhabitable.

Does a landlord policy cover my personal property left in the rental home?

If you keep any of your personal belongings in your rental home, it may not be covered by your landlord insurance policy by default. There is also a difference between property you’ve provided for your tenants’ use (like appliances) and property that you’ve simply stored.

In either case, make sure to check with your provider about how these types of property are covered and at what limits.

If a tenant damages my property, will my policy cover the damage?

Whether a landlord’s policy covers damage caused by the tenant depends on the type of damage. If the damage arises from something covered by the policy, like a fire, the damage would likely be covered. Other forms of damage, like routine wear and tear or intentional damage, would not be covered.

If the tenant’s liability for damage can be proven, their liability coverage may apply. Or, if the tenant has tenant’s protection coverage from Square One, the landlord can make a claim against the tenant’s policy to cover accidental damage for which they’re responsible.

Am I required to make my tenants buy tenant insurance?

Landlords aren’t required to make their tenants buy tenant insurance. However, there are many landlords that do, because it’s simply a good idea. When tenants are insured, they have coverage for their own belongings and, more importantly, for their liability. If a liability claim arises in your rental unit, it’s best if the people who live their have coverage.

Is my property covered during a vacancy between tenants?

If a tenant moves out and there isn’t another tenant ready to move in, the property will be considered vacant. If you don’t inform your home insurance provider of the vacancy, you might have no coverage — an unreported change in occupancy could render the policy void.

How will my policy change if I switch from long-term to short-term rentals?

You will need to inform your insurance provider if you intend to begin renting your property out on a short-term basis. Assuming they are willing to cover it, there shouldn’t be any significant change to your policy. The premium will likely increase, as short-term rentals are considered higher risk than long-term rentals.

Does hiring a property manager affect my insurance?

For the most part, hiring a property manager for your rental property will not have an effect on your insurance. However, if you don’t live near the property, your insurance provider might require you to have a designated person to oversee it in your stead. A property manager would fulfill that requirement.

Does landlord insurance cover legal fees associated with evicting a tenant?

Most landlord policies won’t cover the costs of evicting a tenant. However, if you have landlord insurance from Square One, you can add landlord legal protection to your policy. This coverage does cover legal costs associated with tenancy disputes and possession order enforcement.

General

How much does car insurance cost?

Car insurance in Canada costs, on average, $1,300 to $2,000 annually. However, local and individual factors make an enormous difference. For example, average drivers in BC and Ontario pay nearly double what the average driver in Quebec pays. An insured’s driving experience (especially claims-free years) can lead to discounts of over 40% in some provinces.

How can I lower my car insurance costs?

You can lower your car insurance costs in two basic ways: qualifying for discounts, or adjusting your coverage selections.

For example, Square One offers car insurance discounts for winter tires, retirees, qualified anti-theft devices, and others.

Your premiums will also drop if you increase your policy deductibles or remove optional coverages like comprehensive or collision. Bear in mind, however, that an uninsured accident could eliminate years worth of premium savings. And, if you lease or finance your car, you won’t be able to decline certain optional coverages.

How do you get car insurance?

To buy car insurance, either visit a car insurance broker’s office or look for car insurance online. If you’re in Ontario or Quebec, you can get a car insurance quote from Square One.

In BC, Saskatchewan, and Manitoba, you’ll get your basic car insurance from the province’s public insurer (like ICBC), though you will still purchase it through a broker. Private companies offer supplementary coverage beyond what’s available from the public insurer in those provinces. In the other provinces and territories, you’ll get all of your car insurance from a private insurer, though you’ll very frequently still purchase it through a broker.

Does credit score affect car insurance?

Some providers use an applicant’s credit score as one of the factors in calculating car insurance premiums. However, some provinces (including Ontario) prohibit insurance providers from using credit scores in this way.

In Quebec, Square One uses the applicant’s credit score (with their consent) to determine their eligibility for credit-related discounts. You can still complete the process without consenting to the soft credit check, but you won’t qualify for the discount.

Do people under 25 pay more for car insurance?

Young drivers do generally pay more for car insurance, but there isn’t necessarily a clear separation at a specific age. Different providers rate age and driving experience differently.

For example, a 24-year-old who’s been licensed and accident-free for five years might get a better price than a 40-year-old who just got their first driver’s licence.

Do speeding tickets increase insurance premiums?

Speeding tickets and other moving violations do have an impact on a person’s car insurance premiums. How big of an effect depends on the provider, the severity of the offense, and how many previous convictions the driver has.

Too many speeding tickets or other convictions will eventually result in the driver’s car insurance being cancelled.

Coverage

What is a car insurance deductible?

A deductible is the amount of money you will pay as part of a claim settlement, before your insurance covers the remainder. For example, a deductible of $500 means that, when you make a car insurance claim, you’ll be responsible for the first $500 of repair costs and your policy will pay the remainder. If you choose a low deductible, you’ll pay higher premiums but have less to pay when you make a claim. Choosing a higher deductible will lower your premiums.

What is liability in car insurance?

Liability refers to someone’s legal responsibility for loss or damage. In car insurance, we often talk about fault. If you’re 100% at-fault for a car accident, it means you’re liable for the damage to third-party vehicles (and other property). If you’re liable, it means you will need to pay for the repairs to the property of others that you damaged. Car insurance policies include third-party liability coverage, which will cover your liabilities to other parties.

What does car insurance cover?

In Canada, car insurance is regulated provincially. So, the available coverages vary between the provinces and territories. However, third-party liability coverage is mandatory everywhere. Also, accident benefits (in some form) are part of all policies. Optional coverages include collision (which covers repairs to the vehicle if the insured is at-fault for a collision) and comprehensive.

What is comprehensive car insurance?

Comprehensive car insurance is an optional coverage. It covers repairs to the vehicle from most events that aren’t collisions. That includes coverage for fire damage, theft or vandalism, striking a live animal, and many other perils. While it is optional most of the time, you’ll need to have comprehensive coverage (or all perils) if you’re leasing or financing your vehicle.

What is collision coverage?

Collision coverage is optional, and covers damage to your vehicle from collisions when you are at fault. That includes collisions with other vehicles, objects, or even the ground.

If you’re partially at fault for an accident (say 50%), collision coverage will only cover a proportionate share of the damage. You’d use your DCPD coverage (in Ontario) or Section A/One-way coverage (in Quebec) to cover the share of damage caused by someone else.

Do I really need comprehensive and collision?

Whether you need optional comprehensive and collision coverages depends on your car and your financial situation. Both options cover damage to your vehicle in various scenarios.

If you think you can afford to repair or replace your car out-of-pocket, you may decide to decline optional coverages to save on your insurance. For example, if your vehicle is old and not worth much, the added premiums for optional damage coverage might end up costing more than you’d receive in an eventual claim settlement. Newer vehicles benefit more from damage coverages due to their higher value.

Note that if you lease or finance your vehicle, you’ll be required to maintain both comprehensive and collision coverage.

Does car insurance cover business usage?

Personal car insurance does not cover business use, unless it’s been approved beforehand by the insurance provider. Many providers don’t authorize any business use, including driving for ride hailing or delivery apps.

Does car insurance cover you in the US?

Canadian car insurance policies do usually cover drivers while they’re in the United States. The standard policy wordings in both Ontario and Quebec, for example, specify that coverage is valid if a loss occurs inside Canada or the United States.

Most policies don’t extend coverage to other countries, however.

Does car insurance follow the car or the driver?

In Canada, car insurance policies are attached to a vehicle. That means that you can’t drive an uninsured car, even if you’ve purchased insurance for a different car. Also, it means that someone who doesn’t own a car can borrow someone else’s car and be covered under that person’s policy (as long as they have permission).

Claims

How do you report a car insurance claim?

Square One customers have two options for reporting car insurance claims: from their online account, or by calling 1.855.331.6933. To report online, log in to your account, go to the “Claims” section, and follow the instructions provided. If you call, be ready with your policy number, vehicle and driver information, details of the accident and damage, and insurance information for other drivers (if applicable.

If my car is totalled, will car insurance pay off my lease or loan?

If your vehicle is totalled, your car insurance won’t necessarily cover the outstanding amounts on your lease or loan. Car insurance coverage is typically limited to the vehicle’s actual cash value immediately before an accident — basically, the amount it would be worth on the market.

For very new vehicles, their actual cash value is often lower than what the owner owes on their loan or lease. That means the owner would have to pay the difference if the vehicle were totally destroyed.

Add-ons like depreciation waivers can help bridge this potential gap.

Does making a claim cause my premiums to increase?

Most of the time, making a claim will result in your premiums increasing when your policy renews at the end of the coverage term. However, it won’t necessarily be a large increase; it depends on the nature of the claim.

Plus, there are many other factors that can result in premium increases or decreases even without making any claims, so you shouldn’t hesitate to make a claim if you need to. In any case, you’re obligated to report all losses to your insurance provider, even if you decide not to pursue a claim.

What are my payment options for car insurance?

With Square One, you can choose to pay for your car insurance monthly or annually. If you choose monthly payments, a small finance fee will apply.

If you’re buying a new policy and choose monthly payments, you’ll pay the first two months up front. That’s because monthly premiums are paid one month in advance of the first day of coverage.

Why is there a two-month down payment for car insurance?

When you buy car insurance and elect to pay monthly, you’ll pay for the first two months at the time of purchase. Basically, this is because monthly car insurance premiums are paid a month in advance of the coverage term. So, if you buy your policy on January 1 to start immediately, you have to pay for January (because you want immediate coverage) and for February (because you’re paying for February one month in advance).

Is there a fee to cancel my car insurance policy?

There is no cancellation fee if you cancel your car insurance policy from Square One.

However, a $50 Minimum Retained Premium will apply. That means that the first $50 of your premiums are non-refundable. After you’ve paid at least $50, the remainder of your unearned premiums will be returned to you if you cancel your policy mid-term.

Policies + quotes

Where is Square One available?

Square One provides policies to residences of British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, and Quebec. Car insurance is available in Ontario and Quebec.

What types of insurance does Square One offer?

Square One offers home insurance, which includes the sub-types of homeowner, condo owner, tenant, and landlord insurance, and car insurance (in Ontario and Quebec).

I’m currently with another provider. How do I switch to Square One?

First, get a free online quote. Once you’ve arranged the details of your new policy with Square One, contact your old insurance provider and have them cancel your original policy.

Can my home insurance automatically renew with Square One?

Yes. Square One’s policy will automatically renew so you remain protected. We’ll send you an email a month before your policy’s anniversary date to give you the chance to review your coverage, and to let you know of any changes to the policy.

Can my home insurance premiums be paid monthly with Square One?

With Square One, you can pay monthly. Home insurance policies can be paid monthly with no added fee; a small financing fee applies to monthly car insurance payments. You can also pay yearly, if you’d prefer.

How do I change or modify my Square One policy?

With Square One, you can manage changes to your policy through your online account. If you need any assistance, just call one of our licensed agents at 1.855.331.6933.

How can I change the mortgagee for my Square One policy?

With Square One, you can change your mortgagee in minutes through your online account. Or, by contacting one of our licensed agents at 1.855.331.6933.

Are there any fees with Square One?

Generally, there are no fees associated with your Square One policy. If you have car insurance and choose to pay monthly, a small financing fee will apply.

Square One has a $50 Minimum Retained Premium, which is sometimes misunderstood as being a fee. It means that the first $50 of your premium is non-refundable. But, once your total payments exceed $50, there’s no fee if you cancel.

How do I cancel my Square One policy?

The easiest way to cancel your policy is by logging in to your Square One account. After you’ve logged in, select “Policies and quotes.” On the next page, select the policy you wish to cancel and then click “Cancel policy.”

If you’re unable to cancel your policy through your online account, send us an email or call 1.855.331.6933.

For how long does Square One honour a quote?

We typically honour quotes for 30 days. However, there may be circumstances in which we’re not able to do so.

Company

How do claims work with Square One?

If a crime has been committed, first make sure to report the crime to the police. Then, contact your insurance provider. Your adjuster will record the details of your loss, advise you on your coverage and deductible, and work with you to determine the best way to repair or replace your damaged property. Most claims are settled through cheque or e-transfer. If you have car insurance from Square One, your claim will be managed by the claims team at Zurich (the policy’s underwriter).

Does Square One have a mobile app?

Yes, Square One has a mobile app available for Android and iOS.

What are Square One’s requirements for Guaranteed Building Replacement?

All eligible homes automatically receive Guaranteed Building Replacement coverage from Square One. The main condition for the coverage is that we have correct details about the home’s characteristics, and that we’re notified of any alteration of the home totaling more than $25,000.

Does Square One offer any discounts?

Square One offers both home insurance discounts and car insurance discounts. Any discounts that you’re qualified for will automatically be applied to your premium.

How does Square One communicate important policy information?

Square One is an online insurance provider, and we communicate almost all policy information via email (assuming that you’ve agreed to receive electronic communication). Sometimes, we may give you a call if something time-sensitive comes up. In some cases, we can mail physical documents upon request.

What is Square One’s privacy policy?

Square One has a detailed privacy policy that defines our commitment to protecting our customers’ privacy and personal data. We primarily collect personal information is to promote, offer, sell, and fulfill insurance products. We only disclose personal information to other parties when absolutely necessary or with customers’ permission.

What are Square One’s customer service hours?

Our emergency claims team is available 24 hours a day, seven days a week. For our regular customer service hours, visit our contact us page.