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FREE jan 24 to jan 30 2014 issue 04-03 www.crebnow.com facebook.com/crebnow twitter.com/crebnow
real estate news from industry experts
Extreme weather cause for insurance increases Avoid price jumps by protecting homes before storms hit jessica cameron
reporter/photographer
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esidents across Canada, including Alberta and in particular Calgary, saw a whirlwind of major weather events throughout 2013. With many extreme weather catastrophes comes damage to homes, vehicles and businesses. And with Canadian insurance companies seeing record claims in 2013, Albertans could see their insurance costs on the rise. “The floods in June 2013 were the most recent of a whole series of events that have caused significant increases in claims in Alberta,” said Bill Adams, vice-president, Western & Pacific region with the Insurance Bureau of Canada. “What we’ve seen in Alberta in the last number of years is a significant increase in claims as a result of weather events,” said Adams. High River resident, Doug Gage, was one of the many who suffered damage to his house as a result of the June 2013 floods. His entire basement had to be gutted, and is currently still under construction, this resulted in a rather large claim to his insurance company. “For the basement and the claims for all the contents I would say we put through roughly $35,000 - $40,000,” said Gage. For Gage there is a concern that his insurance rates will increase. He deals with two insurance companies one through his condo board for the building, and one for his personal contents. “The contents might change, they
cody stuart, Managing Editor
may change how much you’re allowed to claim, I had a premium package of up to $71,000 in replacement value,” said Gage. “So who knows that may go up, they may say that you cannot claim that much another time, they may change how much you are allowed to claim.” While Gage is predicting his insurance will go up, he thinks he won’t see
SINGLE FAMILY
it this year, but rather next year. Adams explained that insurance premiums won’t go up based on one event, but rather increases are triggered by long-term claims trends. Some of the weather issues that Alberta has seen going back a number of years, are hail and wind storms causing an increase of insurance claims. Adams said, “Federal government
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Leslie Schmeiler & Lorna Hamm MLS®C3591051
$975,000
www.lornahamm.com
Welcome home to this extensively renovated and upgraded walkout bungalow with over 3500 sq. ft. of development. Quiet cul-desac location, steps away from the pathways of Fish Creek Park, views of both downtown Calgary and the mountains. Open concept, hardwood floors, 2+2 bedrooms, 4 bathrooms. This home is perfect for entertaining featuring both formal & informal dining spaces. Professionally landscaped yard.
MLS®C3590169
$1,295,000
The floods in June 2013 were the most recent of a series of events that have caused significant increases in insurance claims in Alberta.
insurance A3
Non-residential construction activity highest since 2009
MLS® NUMBER OF UNITS SOLD* DEC ‘11 – DEC ‘13
*All statistics based on monthly data compiled by CREB® via MLS® activity.
regulation prohibits us from saying premiums are going up or premiums are going down, but there is no doubt there is significant cost pressures being faced by insurance companies as a result of all of the bad weather we’ve seen.”
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CREB® STAFF
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report released by Statistics Canada shows investment in Calgary’s non-residential sector hit $973 million in the fourth quarter of 2013. The fourth quarter of 2013 in Calgary shows a 3.4 per cent change from the same time last year which had an investment of $941 million.
construction A3
Leslie Schmeiler 403.464.1494 leslie@lornahamm.com Enjoy gorgeous views of the mountains, foothills, Fish Creek Park and the downtown skyline! Fully reno’d, open concept home. Enjoy living in popular McKenzie Lake. Upstairs you will find a large master w/full ensuite, plus 2 spacious secondary bdrms both w/ensuites & custom built closets. Walkout to the huge west facing professionally landscaped yard. Walking distance to elementary schools and close to the south hospital.
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Lorna Hamm 403.287.3880 lorna@lornahamm.com MLS®C3595104
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$599,900
HOUSE OF REAL ESTATE Independently Owned and Operated
This Gorgeous & Tasteful bungalow Villa in Bridlewood Estates is sure to impress!! Move right in to this adult 35+ complex and enjoy contemporary living at its best. The main flr features a large office/den, a spacious & bright GR open to the gorgeous kitchen, plus a spacious dining area - perfect for entertaining friends and family. This fantastic home offers hdwd floors throughout the main, 9’ ceiling on both levels, 2 gas fireplaces & 2 useable & functional outdoor living spaces.