Property Insurance — my experience filing insurance claims

Property insurance, once you have it if anything happens, you’re covered right?

Maybe yes, maybe no.

Two years ago, the basement in my rental property in Fort McMurray flooded. I called insurance company A and filed a claim. Restoration of the basement suite was in the 30K range, and I was relieved my policy covered the cost.

The following year, I bought a fixer-upper in Calgary. It made sense to have both the Fort McMurray and Calgary properties insured with the same insurance company. The cost to insure both properties was expensive because of my previous claim and the previous flooding in the city of Calgary two years ago.

On New Year’s Eve, my Calgary property had sewer backup. I called insurance company B and filed a claim. This repair was far less expensive; the cost was under $5000.

A month later, I received a registered letter from insurance company B informing me they had dropped me as a client. When I asked why I was told it was because I had filed two claims within a five-year period. They also mentioned a phone call about another issue, with insurance company A, two years prior. Although I had not filed a claim.

I asked why insurance company B would cancel my insurance if both properties were insured under…