What is an “Act of God”?

The term “Act of God” refers to natural events that cause damage and can’t be prevented, like natural disasters such as fires and earthquakes.

Insurance companies in Canada do not use the term “Act of God” when talking about insurance products, either as a legal term or in any marketing materials. Perils refer to what types of losses are covered and exclusions state what is not covered. Exclusions are very specific, such as flood or earthquake.


Depending on the policy purchased, you are usually covered against common perils, including fire, damaging winds, and hail. Homeowners insurance and most auto policies include basic peril coverage. Policy wordings are designed to be very specific and to explain exactly what's covered and what's not. If you are ever confused about what’s covered, contact one of our helpful local Financial Advisors.

Comprehensive Water

The most common exclusion under a home policy considered an “Act of God” is a flood. To help you stay prepared, we’ve introduced Comprehensive Water: complete and flexible coverage designed to insure you against many types of water damage to your home, like flooding caused by an overflow from rivers, lakes and creeks. Comprehensive Water is currently available in Alberta and Ontario, and we continue to roll it out across Canada. Until then, you can purchase Extended Water for your home policy which covers you if water enters your home through septic or sewer or backups.

Consider earthquake coverage

Your Home insurance policy doesn’t include coverage for earthquake damage. However, you can add earthquake coverage, with a number of options for deductibles and limits. For many Canadians, your home is your most valued asset – consider adding earthquake coverage to protect it.

Damaging earthquakes can happen anywhere in Canada, and some areas are more earthquake-prone than others. Check out this map of earthquake zones from Natural Resources Canada to see the earthquake risk in your area.