When it comes time to purchase home insurance in Calgary, you may quickly become surprised by how difficult it is to find an accurate estimate. While you may be looking for a set number or general idea of how much you can anticipate paying, it’s often a struggle to find an exact cost.


This is because a number of variables are factored into home insurance, thus impacting how much you will need to pay. No two homes feature the same home insurance policy, so let’s explore some of the factors that influence the monthly payments.


Calculating Home Insurance


The Extent Of Your Coverage


To begin, the amount of coverage you want on your home is a major factor in calculating your home insurance in Calgary. Some homeowners may opt for a more basic policy, while others may include coverage against sewage backups, hail damage, or roof ice damming. 


Additionally, your standard policy may not cover the cost of rebuilding your home in the event of an unexpected accident. Therefore, some homeowners choose to add a guaranteed replacement cost to their provision, which will naturally make the payments go up in price.


The Location


Your location actually plays a large role in calculating your home insurance. Areas with higher crime rates, for example, may experience higher home insurance rates, as insurance companies are anticipating break-ins, vandalism, and theft.


The Distance From A Fire Station Or Hydrant


Fire is a major concern for any homeowner. Fortunately, living close to a fire station or hydrant offers both peace of mind and lower rates. 


This isn’t typically a concern for more urban areas, but those who live in more remote or rural areas may have to contend with higher rates, as fire response tends to be further away.


The Age Of The Home


As with most things in life, the older your home is, the more likely you’re going to experience a few issues. Between leaky pipes and old, faulty wiring, older homes are more likely to require an insurance payout, and therefore, their rates will be higher.


Fortunately, home renovations can work in your favour. By rejuvenating your home, you can actually see your home insurance rates decrease, as you’re actively working to reduce the ageing of your home.


The Heating System


Surprisingly, your heating system can also impact your Calgary home insurance calculations. Oil heating is deemed riskier than a gas furnace or electric heating, as there is the potential for a leaky oil tank. Additionally, a wood-burning stove poses a greater risk for house fires and carbon monoxide poisoning.


Therefore, if you’re hoping to lower your rate, gas or electric is the way to go.


Lakeview Insurance Brokers Ltd. has been a highly dedicated member of the Independent Brokers Association of Albert and has been family-run since 1979. Our brokers take the time to ensure you get the best policy that suits your needs. Contact us today to get started at 403-287-2521 or send an email to [email protected]