Your home is more than just a place to live – it’s your sanctuary. But in Mississauga, many homes are prone to damage caused by strong winds and flooding. That’s why it’s crucial to protect it with the right home insurance coverage.
Here, learn the basics of home insurance in Mississauga, including how it works, how much it costs, what can affect your premiums, and where to find the best rates possible.
Why Do I Need Home Insurance in Mississauga?
Home insurance is not mandatory by law in Mississauga, Ontario. However, it can be incredibly helpful in protecting your family from financial losses incurred by:
Aside from this, having home insurance can also increase your chances of securing a mortgage. Typically, lenders are more keen to finance people who are insured, as this ensures that their investment is well protected in the event of a natural disaster, break in, etc.
How Does Home Insurance in Mississauga Work?
As with other insurance products like tenant insurance or condo insurance, Mississauga home insurance gives you financial coverage for your home in the event of certain unforeseen events. By purchasing a home insurance policy, you can file a claim that allows you to handle the cost of damage or losses covered under your policy terms.
There are three types of home insurance policies that you can buy in Mississauga. Here’s a basic overview of each type:
Who Provides Home Insurance Quotes in Mississauga?
There are different ways that you can get a home insurance quote in Mississauga. Here are the four providers that you can use or contact for home insurance rates:
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 Mississauga. Talk to your home insurance provider to see what’s covered by your policy in case of loss or damage.
How Much Does Home Insurance in Mississauga Usually Cost?
Home insurance in Mississauga, Ontario typically ranges between $828 to $2,116 a year. This is a bit on the high side compared to the average rates for the whole of Ontario. However, it’s on par with the average rates in neighbouring Toronto.
Bear in mind that insurance rates vary widely depending on a number of factors which we explore in more detail below.
What Determines the Cost of Home Insurance in Mississauga?
The cost of home insurance in Mississauga varies depending on several considerations, such as your zip code, your property type, and even your credit score. Here are some of the different cost factors for home insurance in Mississauga:
What Risks Affect Homeowners in Mississauga?
The greatest risks that homeowners in Mississauga face are:
Does Where You Live in Mississauga Affect Your Home Insurance?
Yes, where you live in Mississauga affects your insurance rates. Policy rates in every Canadian city typically vary from postal code to postal code. Insurers take various factors into consideration when determining their rates, including the location of your home. Some of the key factors affecting your home insurance premiums based on location are:
Census Data: Housing Data in Mississauga
Get a snapshot of the average home in Mississauga below. This section is based on housing data provided in the 2021 Census of Population:
Type of Occupied Dwelling
Over a third (37.1%) of Mississauga homes are single-detached houses. The second most common type of dwelling in the city is an apartment in a building with five or more storeys. Roughly 27.3% of Mississaugans live in these types of apartments.
Owner vs Renter Stats/Condo vs Non-Condo Owners
More houses in Mississauga are owned than they are rented. Seventy percent of homes are owned by their occupants, while only 29.6 % are rented.
Condominium dwellings make up only 28.2% of dwellings in Mississauga, while non-condos make up 71.8%.
Private Dwellings by Period of Construction: New or Older Homes?
Nearly 40% of dwellings in Mississauga were constructed before 1980. Only 23.3% of all dwellings were constructed between 2001 and 2021. The years 2016 to 2021 had the lowest rate of construction at only 3.4%.
Major Repairs or Just Maintenance Needed?
Just 4.8% of all dwellings in Mississauga are in need of major repairs. The remaining 95.2% need only regular maintenance and minor repair work.
How You Can Get Cheap Home Insurance in Mississauga
If you’re trying to save money on your preferred home insurance coverage, here are some important steps to take:
FAQs About Home Insurance in Mississauga
Can you cancel home insurance in Mississauga?
Yes, you can cancel your home insurance in Mississauga. Check your policy’s terms and conditions for any fees or penalties you may incur, as these are typically charged if you cancel your policy before its end date.
Are Mississauga home insurance fees tax deductible?
Generally, Mississauga home insurance fees are not tax-deductible as they’re usually considered personal expenses. However, they may be tax-deductible in certain circumstances, such as running a home-based business or having a designated office area in your home. Consult a tax professional to learn if your insurance policies can be considered deductibles in your situation.
Do Mississauga real estate prices affect the cost of home insurance?
Yes, Mississauga real estate prices affect the cost of home insurance. Because high real estate prices translate to higher repair or restoration costs in the event of loss or damage, home insurers may charge higher premiums in higher-priced areas. The average price of a Mississauga home is within the $920,000 range, making it higher than the Ontario average.
Though Mississauga’s average home prices are higher than those in Ontario, the average reflected above and reported in January 2023 is the lowest it’s been in the past two years. The real estate market in Mississauga has been on the decline for the past year, with semi-detached and detached house prices declining the most. Lowered prices and fewer sales may result in lower home insurance quotes in the future.
Do I need home insurance in Mississauga for Airbnbs?
Yes, you need a specific type of home insurance in Mississauga for Airbnbs. Property owners who run Airbnbs can apply for a customized rental insurance policy to protect against property damage or liabilities.
What factors aren’t used to calculate Mississauga home insurance rates?
Factors that insurance providers don’t consider when calculating Mississauga home insurance rates include the following:
Sexual orientation and gender
Marital status
Disability
Race
Religion
Political affiliation
How expensive is insurance for a home in Mississauga compared to the rest of Ontario?
Insurance for a home in Mississauga can be as much as $800 higher than the provincial average. Some factors which may affect this difference include the cost of living in this city, property values, and the incidence of natural disasters such as earthquakes and storms.
In Mississauga, the cost of living is about 8% higher than the provincial average. Mississauga is a flood-prone area, with serious damage caused by flooding in 2009 and a flash storm in 2013. Environmental assessment and floodplain mapping are currently being conducted to mitigate flooding, but potential solutions are still in the works. Consult your preferred home insurer to find out what other factors may cause your Mississauga policy quotes from them to be higher than the provincial average.