The Hamilton Spectator

Because it’s 2017: Adapting to a changing climate

Disaster planning should reflect the new reality that flooding is as big a threat as fire

- KIM DONALDSON Kim Donaldson is vice-president, Ontario Region, Insurance Bureau of Canada. Visit BayAreaSum­mit.ca or call 905-522-1151, ext. 100, to learn more about IBC’s involvemen­t at the Bay Area Economic Summit on June 27.

The economic prospects for Burlington and Hamilton, the Bay Area of Ontario, depend in large part on the vitality and resiliency of its industries and employers.

The Bay Area saw this phenomenon in action in the 1980s and 1990s when Hamilton’s large industrial employers were disrupted by the economic shifts prompted by globalizat­ion and more liberalize­d trade regimes.

Today, extreme weather and climate change can be added to the list of disrupters that we should prepare and plan for. We are pleased to know that these interrelat­ed topics will be centre stage at the June 27 Bay Area Economic Summit.

Insurance Bureau of Canada (IBC) represents the country’s property and casualty insurers that provide coverage for homes, auto and businesses. The issue of climate change is a significan­t and growing concern for the industry because claims for weatherrel­ated damage are growing fast.

For many years, fire was the No. 1 cause of insured damage, but no more. Flood events now constitute the largest proportion of disaster claims in Canada.

As climate change unfolds, expect to see extreme weather-related damage continue to trend upward. The impact on individual­s, their communitie­s and government­s will be dramatic.

Over the years, the Bay Area has seen its share of flooding and other extreme weather events. Municipal leaders have responded by including these risks into their planning process.

IBC advocates for a co-ordinated and integrated approach with all levels of government to help cities and individual­s deal with a hotter, wetter and more damaging climate. Our advocacy includes four key points that together can provide a circle of protection for cities and their economies.

First, communitie­s should target priority infrastruc­ture investment­s, including the repair and upgrade of aging and failing sewer and storm water systems. Second, building codes and standards need to be modernized and adapted to withstand the more severe weather that we’re expecting. Third, communitie­s should improve their land use planning so that homes and other constructi­on projects are not allowed in or near known flood zones. And fourth, consumers and the public should keep informed about climate change risks.

On the consumer front, homeowners in some parts of Canada have recently been able to purchase overland flood insurance, a product that is slowly expanding. Flood insurance, where available, is a vital piece of consumer preparedne­ss. But other acts of preparedne­ss are even more basic, such as taking those storage boxes off the basement floor.

From a financial perspectiv­e, flood and business continuity insurance are critical for businesses. If enough businesses were disrupted by floods for days or weeks, the economic impacts could be devastatin­g and could even act as a disincenti­ve for businesses considerin­g an investment in the Bay Area.

IBC recommends that Bay Area municipal leaders continue to adopt a long-term view when planning developmen­t. The pressure to deal with what is happening right in front of us often takes precedence over what might be needed “one day.” While immediate problems can’t be ignored, neither can the needs of the future.

Getting this right requires federal, provincial and municipal government­s to collaborat­e on supporting and fostering economic growth. They need to continuall­y generate an educated and skilled labour force, revitalize transporta­tion networks and, increasing­ly, ensure that city regions such as the Bay Area protect their economic and social assets from the uncertaint­ies of a warmer and wetter tomorrow.

 ?? MAX WHITTAKER, NEW YORK TIMES ?? The Insurance Bureau of Canada’s Kim Donaldson writes that fire used to be the leading cause of insured damage, but no longer. Now, floods constitute the largest proportion of disaster claims in Canada.
MAX WHITTAKER, NEW YORK TIMES The Insurance Bureau of Canada’s Kim Donaldson writes that fire used to be the leading cause of insured damage, but no longer. Now, floods constitute the largest proportion of disaster claims in Canada.

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