Home insurance in Hamilton isn’t a necessity, and most homeowners don’t like thinking about the added costs. But, properties are simply better off with financial protection through the right home insurance policy.
Home insurance in Hamilton benefits all homeowners, as it protects against unforeseen circumstances like natural disasters, theft, and liabilities. Learn about the different types of home insurance in Hamilton, what coverage you need, and how to get the best rates.
How Does Home Insurance Work In Hamilton?
When you get a home insurance quote in Hamilton with MyChoice, you’re receiving a comprehensive policy that goes beyond just the basics — including Guaranteed Replacement Cost, which ensures your home will be rebuilt to its original condition even if the cost exceeds your dwelling coverage limit.
Your quote is made up of two main pillars: Base Residence / Dwelling (covering your home, contents, liability, and standard perils) and Enhanced Water Protection (covering floods, sewer backup, and groundwater seepage). Together, they form a complete protection package for your property and belongings.
| Coverage Type | What’s Included? | Average Annual Home Insurance Premium |
|---|---|---|
| Base Residence / Dwelling | – Dwelling Coverage – Outbuildings (detached structures) – Contents – Personal Liability – Voluntary Medical Payments – Voluntary Property Damage – Basic Water Damage | $1,030 |
| Enhanced Water Protection | – Sewer Backup Endorsement – Ground Water Endorsement – Overland Water Endorsement – Broad Water Damage Endorsement | $205 |
| Coverage Total: | $1,235 |
*A comprehensive home insurance policy protects your property and belongings against all perils except those specifically excluded by the policy. This typically includes: fire and smoke damage, wind and hail damage, lightning strikes, burst pipes (depending on the situation), falling objects (like trees or branches), theft and burglaries, and vandalism.
Base Residence / Dwelling Coverages:
| Coverage Type | Coverage Details | Average Coverage Amount/Limit |
|---|---|---|
| Dwelling Coverage | Covers the cost to rebuild your home after insured damage. | $1,000,000 |
| Outbuildings (detached structures) | Covers the cost to rebuild the detached structures (i.e. garages, sheds, fences). | $150,000 |
| Contents | Protects your belongings from damage or loss due to covered perils. | $750,000 |
| Personal Liability | Legal & medical costs if someone sues you for injury/property damage. | $1,000,000 |
| Voluntary Medical Payments | Pays limited medical expenses if someone is accidentally injured on your property, regardless of fault | $4,500 |
| Voluntary Property Damage | Covers small amounts for accidental damage you cause to someone else’s property (or damage caused by a minor in your care | $1,500 |
| Basic Water Damage | Protects against sudden and accidental internal water damage (e.g., burst pipes or overflowing appliances | $1,000,000 |
*Please note that the average coverage limits in the tables above and below are based on the dwelling coverage of $1 million and can vary by house and carrier.
Enhanced Water Protection:
| Coverage Type | Coverage Details | Average Coverage Amount/Limit |
|---|---|---|
| Sewer Backup Endorsement | Pays for damage caused by sewage or septic systems backing up into the home. | $100,000 |
| Ground Water Endorsement | Adds protection against damage from ground‑water seepage, which is not covered by standard policies. | $250,000 |
| Overland Water Endorsement | Covers damage from freshwater entering your home from rivers, lakes or heavy rainfall. This is typically optional and recommended for homes in flood‑prone areas. | $250,000 |
| Broad Water Damage Endorsement | A catch‑all rider that may combine overland water, sewer‑backup and ground‑water coverage and may also include protection for seepage or ice‑damming (depending on the insurer) | $250,000 |
*MyChoice recommends getting the enhanced water protection package if you live in flood-prone areas in Ontario, as mentioned in our latest study.
Home Insurance Price in Hamilton by Dwelling Type
Below is the average home insurance price in Hamilton, categorized by dwelling type:
| Type of Dwelling | Average Annual Home Insurance Premium |
|---|---|
| Detached | $1,235 |
| Semi-Detached | $1,136 |
| Freehold Townhouse | $1,062 |
Does Where You Live in Hamilton Affect Your Home Insurance?
Yes, where you live in Hamilton can affect your home insurance. Insurance providers consider various factors related to your location when determining the cost of your home insurance premiums. Here are some aspects of your location that can influence your home insurance:
Postal Codes With the Most Expensive Home Insurance in Hamilton
L8J, L8G, L8N and L8T are some of the most expensive postal codes in Hamilton for home insurance.
| Postal Code | Average Annual Home Insurance Premium |
|---|---|
| L8J, L8G | $1,293 |
| L8N, L8T | $1,288 |
Postal Codes With the Least Expensive Home Insurance in Hamilton
Below are the cheapest postal codes in Hamilton for home insurance.
| Postal Code | Average Annual Home Insurance Premium |
|---|---|
| L8R | $1,212 |
| L9B | $1,196 |
How Hamilton Home Insurance Rates Compare to Nearby Cities
Hamilton’s home insurance rates are fairly moderate, lower than Oakville and St. Catharines but slightly higher than nearby Cambridge.
| City | Average Annual Home Insurance Premium |
|---|---|
| Hamilton | $1,235 |
| Burlington | $1,272 |
| Dundas | $1,348 |
| Oakville | $1,425 |
| St Catharines | $1,436 |
| Cambridge | $1,149 |
How Hamilton Home Insurance Rates Compare to Provincial Average
Insurance costs for properties in Hamilton vary. However, most homeowners and renters can expect annual premiums between $1,235, slightly lower than the average for Ontario home insurance.
However, insurance in some neighbourhoods, such as Bartonville, Beasley, Delta East, Hamilton Beach, Rosedale, and Stoney Creek, has rates above the median.
Common Home Insurance Discounts in Hamilton
Certain insurers offer home insurance discounts that can significantly reduce your premium — sometimes by up to 20% when combined. Please note that these discounts depend on your property type, condition, the insurer and even external conditions like natural disasters or crime rates in your specific area. Talk to your broker or insurer to learn more about what discounts they offer in your area.
Here’s a look at the most common discounts you can get on home insurance in Hamilton:
| Discount Type | Average Percentage Savings | Average Discount Value |
|---|---|---|
| Multi-Line (Home + Auto) | 11.4% | $141 |
| Claims-Free Discount | 16.5% | $204 |
| Alarm System (Burglar) | 7.5% | $93 |
| Alarm System (Fire) | 5.0% | $62 |
| Membership Discount (CAA) | 10.0% | $124 |
| Non-Smoker Discount | 7.5% | $93 |
What Risks Affect Homeowners in Hamilton?
Hamilton homeowners are susceptible to the following specific risks:
Probability of Significant Disasters in Hamilton
On January 10, 2020, a strong winter system brought rain turning to freezing rain in Hamilton, causing sewer backups, downed power lines, and traffic disruptions.
The following MyChoice probability scores for Hamilton are based on historical data from the Canadian Disaster Database (CDD), which has tracked major disasters in Canada since 1950. These scores represent the relative likelihood that each type of significant event could occur at least once in Hamilton over the next decade. The comparison is made against both other regions in Canada and other types of events, helping illustrate where the greatest risks to homeowners may lie.
According to the CDD, an event is classified as significant if it results in 10 or more deaths, 100 or more people affected (injured, evacuated, or left homeless), an appeal for national or international assistance, historical importance, or severe damage that prevents a community from recovering on its own.
Why Are Hamilton Home Insurance Rates so Expensive?
There are three factors that may be driving up Hamilton home insurance rates. Here’s a quick explanation of why these things make premiums higher in Hamilton:
- Greater number of older properties: Most homes in Hamilton are quite old, so it’s more likely that they have older systems for heating, plumbing, and electricity. This increases your likelihood of filing a claim for a fire or flood.
- Higher real estate values: Real estate prices indirectly affect home insurance premiums. As home values go up, so do the cost of rebuilding and the amount of coverage you’ll need from a policy.
- Housing density: Hamilton is densely populated, and most of its homes are connected houses or apartments with very little space between units. This increases the risk of spreading fires between homes.
Housing Data in Hamilton
Here’s a look at housing data in Hamilton according to the 2021 Census of Population.
Homeownership Rate by Age in Hamilton
Below are homeownership rates in Hamilton categorized by different age groups:
| Age Group | Homeownership Rate |
|---|---|
| 15 to 24 | 12.5% |
| 25 to 39 | 52.0% |
| 40 to 54 | 68.5% |
| 55 to 74 | 72.6% |
| 75 and over | 74.4% |
What Is Not Included in a Typical Home Insurance Policy?
Even if you’ve opted for a highly comprehensive home insurance policy, there are some risks that insurers explicitly don’t include as a covered peril. These are called “exclusions” by home insurers.
Here are the most common home insurance exclusions:
This is by no means an exclusive list of risks typically excluded from a home insurance policy in Hamilton. Talk to your home insurance provider to see what’s covered by your policy in case of loss or damage.
Why Do I Need Home Insurance in Hamilton?
While purchasing a home insurance policy in Hamilton isn’t mandated, doing so is a good idea under the following circumstances:
- In case of environmental hazards (floods, severe weather, fires)
- In case of theft or vandalism
- In case of a liability occurring on your property
- For mortgage requirements
- For peace of mind
How You Can Get Cheap Home Insurance in Hamilton
If you’re trying to save money on home insurance coverage in Hamilton, visit our Ontario page for a list of practical tips.