Flooded homeowners can get prompt help from government
Inundated homeowners or renters can receive government compensation for damages and expenses incurred within less than three days of applying for it, but chances are victims won’t be covered in full for their losses.
Private insurance for this type of flooding is relatively new in Canada, and those living in areas deemed at risk would not be covered by private insurers.
Under Quebec’s “General financial assistance program regarding actual or imminent disasters,” homeowners can receive up to $159,000 for repairs to their home and the access route to their property, as well additional payments for efforts related to keeping the flood waters at bay, replacement of goods and costs related to moving expenses and emergency lodging — but there are limits and deductibles involved.
Replacement of a dishwasher, for instance, is capped at $400. Replacement of all clothing is limited to $1,500. The most paid out for a ruined television is $450.
Cheques covering costs can be issued in less than 72 hours to help pay for repairs and replace items quickly.
If the house is a total loss, the government will pay a maximum of $159,00 to rebuild it, plus up to $25,000 for demolition costs.
By Tuesday, more than 700 people had applied for financial aid, Quebec’s public security ministry said. As of Wednesday afternoon, more than 3,800 homes and businesses in Quebec had been listed as damaged, and more than 2,700 people were forced to leave their homes.
Among the coverage offered: Funding for such preventive measures as sandbagging, pumping water out of a basement or boarding up doors and windows is covered up to $3,000. Residents who did the work themselves can charge the provincial minimum wage of $11.25 an hour for their labour.
Individuals forced to leave their homes can charge $20 a day per person to cover lodging and food costs, from the fourth day to the 100th day of the evacuation. A family of four out for a month could receive $2,160. Those who need to stay out of their home longer because of renovations can charge for that time as well.
Damaged goods are covered, with a deductible of $100 and limits on costs per item.
Moving and storage costs are covered up to $1,000.
Homeowners are covered for up to 80 per cent to repair damages to their principal residence (cottages, for example, are not covered).
Emergency work and temporary preventive measures are covered at 100 per cent, minus a $500 deductible.
Information sessions regarding financial aid will be held in affected communities over the coming days. Details about the province’s aid program and how to apply are available at bit.ly/2plj8OG.
Private insurance for “overland flooding ” coverage began last year in some provinces in Canada, and has been available in Quebec only since March, said Pierre Babinsky head of communications for the Insurance Bureau of Canada.
Those who apply are subject to a risk assessment. If flooding is deemed to be less an unpredictable occurrence and more like a certainty, it will not be covered, “because that goes against the principle of insurance,” Babinsky said.
The Insurance Board of Canada is pushing for the federal government to come up with a national flood strategy that would allow private insurers to provide flooding insurance, with government backing, and in turn use part of the money for mitigating measures like dikes or rainwater drains to prevent widespread flooding. Alberta spent billions on flood prevention measures, ultimately saving much more on financial aid payments when flooding hit, Babinsky said.
With more than 3,800 homes and businesses listed as damaged to date, this year’s flood could be the most expensive on record, surpassing the floods that hit the Saint-Jean-sur-Richelieu region in 2011, flooding 3,000 homes and cottages.
In other efforts to ease the financial stress on flooding victims, the Canada Revenue Agency announced those who can’t pay their taxes on time can apply for tax relief.
Taxpayers can make a request online by using Form RC4288, Request for Taxpayer Relief or by calling the CRA at 1-800-959-8281 for individuals and at 1-800-9595525 for businesses. The CRA says it will consider these requests on a case-by-case basis.
Revenu Québec announced it will also waive penalties and interest for late tax filings for residents and businesses affected by the flooding. Those seeking more information can call 1-800-267-6299 for individuals or 1-800-567-4692 for businesses and employers.
Hydro-Québec announced it is opening a new information line (1-888-385-7252, option 1), to help individuals affected by the flood, and ease requirements for those having trouble paying their Hydro bills. No charges will be made for restoring electricity to homes where it was cut off, nor will clients be billed for times when electricity was cut, or for 30 days, at the request of the client. Some 900 homes and businesses had their electricity shut off due to the flooding. These measures will also apply to flooding victims who did not have their power shut off.