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3.7.1 Description of Coverage

We agree to extend the insurance provided to the coverages indicated on the declaration page under this Rider, to include direct loss or damage to property insured under Coverage A caused by the sudden and accidental entry of water resulting from flood into the Strata Building, private structures or Strata Unit. 

This coverage does not increase the amounts of insurance stated in the policy.

3.7.2    Loss or Damage Not Insured

We do not insure loss or damage:

  1. caused by the breaking out or the overflow of any body of salt water; or
  2. caused by tsunami, tides or waves of any kind; or
  3. caused by continuous or repeated seepage or leakage of water; or
  4. caused by ground water, or
  5. to a watermain; or
  6. occurring while the Strata Building or Strata Unit insured is under construction or vacant, even if we have given permission for construction or vacancy.

3.7.3    Basis of Claim Payment Coverage A – Building

If it is necessary to rebuild the Strata Building following insured damage caused by flood as defined below, you do not have to rebuild on the same premises with materials of equivalent kind and quality.  We will pay the lower of:

  1. what it would have taken to rebuild the Strata Building insured at the time of the loss; or
  2. the amount to build your new Strata Building; or
  3. your Coverage A limit shown on the declaration page.

If you do change premises, “Guaranteed Building Replacement” is not available and we will only cover debris removal and increased cost from bylaws up to the coverage limits for the Strata Building insured at the time of the loss.  Any costs associated with the sale or purchase of property is not covered.

You can change the occupancy and materials used in your Strata Building if you wish, as long as doing so does not increase our total cost.  If you want to handle all or any part of your claim on your own, you may take a cash settlement without depreciation.  You must take a cash settlement without depreciation for your entire claim, except debris removal at the original premises of the loss, and release us from all rebuild obligations if you choose to rebuild outside B.C.

3.7.4    Deductible

For each single flood claim, we will pay only the amount of loss or damage, which exceeds the deductible shown on the declaration page for this Rider.

A single flood includes all flooding that occurs over 7 consecutive days during the policy term. This means all loss or damage caused over 7 days from the first date of damage is counted as a single claim and the deductible only applies once. But there is no coverage for any damage caused by flooding after the policy expires.

3.7.5    Definitions


The coverage under this Rider is subject to the definitions contained in Section 5 of this policy except as modified or added by the definitions contained within this Rider.

  1. Flood” means:
  1. the breaking out or the overflow of any body of fresh water; or
  2. the accumulation or run off of surface water or rainfall or snowmelt.


All other terms, conditions, limitations, exclusions and definitions within the policy remain unchanged.