Canadian Underwriter

Author: Mike Thomas

  • Strengthening Business Continuity in an Evolving Risk Environment

    Strengthening Business Continuity in an Evolving Risk Environment

    TORONTO, ON, MAY 20, 2026/insPRESS/ – As organizations face more complex operational risks, from cyber incidents and climate-related events to supply chain disruption and workforce challenges, business continuity playing a growing role in organizational resilience.

    During Business Continuity & Resilience Awareness Week (BCAW+R) 2026, Ecclesiastical Insurance is highlighting the importance of proactive preparedness strategies that help organizations respond to disruption, maintain operations, and recover more effectively during periods of uncertainty.

    This year’s awareness week encourages organizations to rethink resilience in the face of evolving threats and changing risk conditions. For many organizations, business continuity planning has evolved beyond a compliance exercise and become an operational priority tied to risk management, stakeholder confidence, and long-term sustainability.

    “Organizations can’t always predict disruption, but they can prepare for it,” says Colin Robertson, Chief Experience Officer at Ecclesiastical Insurance. “Effective Business Continuity Planning helps organizations respond more confidently, reduce operational impacts, and continue supporting the people and communities that rely on them.”

    To support organizations and brokers in these conversations, Ecclesiastical Insurance is sharing practical business continuity planning resources designed to help leaders identify vulnerabilities, strengthen response strategies, and improve organizational readiness.

    Resources include:

    As organizations continue navigating a dynamic risk landscape, business continuity planning remains a critical tool for improving resilience and minimizing disruption.

    Access additional resources and learn more through Ecclesiastical Insurance’s Risk Hub at ecclesiastical.ca.

    About Ecclesiastical Insurance:

    Ecclesiastical Insurance Office plc is a specialist commercial insurance company and a proud member of the Benefact Group. The company focuses on protecting organizations that contribute to communities, culture, and heritage, while providing risk management expertise and resources that help organizations prepare for disruption and build resilience.

    Media Contact: Colin Robertson
    Chief Experience Officer
    Ecclesiastical Insurance
    Phone: +1 416 484 3984
    Email: crobertson@ecclesiastical.ca

  • Insurers reveal more detail about their proposed quake backstop

    Insurers reveal more detail about their proposed quake backstop

    Rescuer search trough ruins of building with help of rescue dog.

    Canadian property and casualty insurers are proposing a private-public earthquake backstop along the lines of the terrorism insurance backstop currently employed in the United States, the Insurance Bureau of Canada confirmed Tuesday.

    “The industry’s proposed solution is known as the Canadian Earthquake Risk Protection Act (CERPA), and is modelled on the U.S. Terrorism Risk Insurance Act (TRIA),” IBC says in a paper published on the insurer association’s website. “TRIA has supported stability in the U.S. terrorism insurance market for more than two decades, by establishing a clear framework for sharing extreme tail risk between the government and the insurance industry.

    “Although terrorism and earthquakes present different risk characteristics and market dynamics, TRIA demonstrates how a transparent, rules-based mechanism can reduce systemic risk and prevent market contagion after a catastrophic event. CERPA draws inspiration from these structural principles, while being tailored to the unique characteristics of earthquake risk in Canada.”

    CERPA, like TRIA, “is designed to operate on a long-term, cost-neutral basis with no upfront public expenditure, while reinforcing insurer responsibility and preserving appropriate market incentives,” IBC says in a piece authored by Mahan Azimi, the association’s director of catastrophic and emerging risk policy team, and Christina Friend-Johnston, a communications manager at IBC.

    Specifically, as in TRIA, taxpayers would be reimbursed for the government’s costs over the long term “by requiring the industry to repay any federal support through a temporary post-event premium surcharge, ensuring no upfront cost to taxpayers or consumers at the outset,” as IBC explains.

    In the United States, if a terrorist attack is officially “certified” and industry-wide insured losses exceed the TRIA backstop’s trigger (currently $200 million), the US government reimburses part of insurers’ losses above their deductibles. The US government currently covers 80% of eligible losses above trigger thresholds, while insurers retain 20%. The US government recovers its outlay under a post-event premium surcharge paid by the US P&C industry.

    Previously, CU reported information about the model published by the Property and Casualty Insurance Compensation Corporation. In its quarterly newsletter, Solvency Matters, PACICC CEO Alister Campbell says modelling for setting the proper ‘trigger’ would be critical.

    “To the extent that any successful design will need to allow insurers ‘to fail’ (as antidote for ‘moral hazard’), there will also need to be accurate modelling to estimate how much failure the system can ‘afford,’” Campbell writes. “It seems very possible that the PACICC Systemic Risk Model (encompassing both federal and provincial insurers) will prove to be invaluable in supporting this modelling work.”

    IBC says it’s 30% likely that Canada will see a Magnitude-8 or greater earthquake (“the Big One”) striking in Vancouver within the next 50 years. Plus, Montreal lies within Quebec’s most active seismic zone, which has experienced past earthquakes including a Magnitude-5.8 earthquake in 1732.

    IBC cites a damage estimate suggesting a major earthquake in Canada could cause $52.6 billion in catastrophic damage. That’s 11 times greater than Canada’s current record-holding disaster, the 2016 wildfire that burned through Fort McMurray in Alberta.

    Also in the news: Is insurance facing its Napster moment?

    In previous reports, PACICC has said a damage loss exceeding $35 billion could create a “tipping point” after which multiple P&C insurers could fail.

    To put that in perspective, MSA Research says Canada’s P&C insurance industry currently has approximately $66 billion in capital. That breaks down into $23.2 billion of minimum required capital, plus about $42.8 billion in excess capital.

    “It’s important not to interpret the full $66 billion as capital available to absorb a single event,” MSA Research CEO Nevina Kishun tells CU. “The majority of this capital is already supporting ongoing risks across all lines of business, and insurers are required to maintain the minimum capital level.

    “In practice, the [roughly] $43 billion of excess capital is the closer proxy for loss-absorbing capacity — but even that is not fully deployable without regulatory and market consequences.”

    The industry has been calling for an earthquake backstop to prevent P&C insurance company failures for longer than a decade. In its 2025 budget, the federal government included a promise to consult with the industry on a quake backstop. Currently, the industry is calling for federally and provincially licensed insurers to be included in the discussion.

    “Canada is the only G7 country with a significant earthquake risk that lacks a formal government-backed financial backstop for earthquake,” says Liam McGuinty, IBC’s vice president of federal affairs at the time the federal government released its budget. “Without a federal backstop, a major quake could trigger widespread financial instability.” 

  • From Cracked Engines to Critters: Common Boat Claims and Avoidable Oversights

    From Cracked Engines to Critters: Common Boat Claims and Avoidable Oversights

    A family enjoying summer taking a tour on a boat on a lake.

    From Cracked Engines to Curious Critters: Lessons from Aviva’s Marine Experts

    From common boat claims to expensive boat owner oversights, these are insights brokers can use. Aviva’s NauticLife boat insurance provides customers and brokers with comprehensive solutions.

    Behind every Aviva boating claim is the Marine Assessment Unit, a three‑person team of experts with deep industry knowledge. They share key insights brokers should know, including common claims, surprising coverage, and an endorsement customers shouldn’t overlook.

    A common boat claim: Improper winterization

    Every spring, the unit reviews numerous cracked engine claims.

    “In many cases, winterization damage is easy to identify. It typically happens when engines aren’t winterized correctly or at all. We often receive claims from vendors who aren’t aware this type of damage isn’t covered,” says Aviva Marine Assessment Specialist Don Sendall.

    Educating new boaters is critical. “After Labour Day, boaters should monitor temperature drops and schedule service early. Waiting for one last fall run can lead to costly engine repairs next season,” Sendall adds.

    “Policies are restrictive when it comes to freezing losses. Proper maintenance leads to a better overall experience and fewer unfortunate losses,” says Shawn McKone, Senior Manager, Technical Lead, Lifestyle Department.

    Another claim cause: Expired engines

    Another frequent claim involves engines that suddenly fail.

    “Some claims are covered, but most aren’t. It’s usually an older motor with an internal failure—that’s part of owning something mechanical,” says Sendall. Engines 15–20 years old are expected to break down, sometimes catastrophically. Annual maintenance with a qualified technician remains the best defence.

    Did you know? Critter damage may be covered

    Discovering raccoons under shrink wrap is a common spring surprise.

    “Boats are warm, enclosed spaces—ideal nesting spots. The biggest challenges are repairing chewed upholstery and cleanup,” says Sendall.

    While many policies exclude animal damage, Aviva’s NauticLife policies include raccoon damage coverage – often surprising brokers and customers.

    Biggest caution: Navigational limits

    One of the most important questions brokers should ask is where customers plan to operate their watercraft. Traveling beyond navigational limits can leave vessels uninsured, especially for snowbirds heading south.

    “If overlooked, a vessel could be uninsured without the owner realizing it. Given the potential loss, it’s critical to avoid this,” says McKone.

    Coverage you can count on

    Aviva’s NauticLife boat insurance offers protection for all kinds of pleasure craft.

    For more information about NauticLife and our other Lifestyle products please visit Aviva.ca

  • What makes human element programs effective? 

    What makes human element programs effective? 

    Two professionals reviewing documents at a wooden table, with one person pointing to a printed report beside a laptop during a business meeting.
    Everett McCallum, Director, Technical Risk Services, Echelon Insurance
    Everett McCallum,
    Director, Technical Risk Services,
    Echelon Insurance

    As part of a business’ risk mitigation plan, there is heavy reliance on physical systems and well-established organizational processes to manage risk. While important, their effectiveness is shaped by the way they are operated, maintained, and managed, which ultimately comes down to human behaviour and decision-making. In severe losses, many trace back to a common set of underlying gaps due to human behaviour and decision-making:  

    • Unclear ownership and accountability 
    • Missing or inconsistent standards and procedures 
    • Insufficient training and competency validation 
    • Limited verification, tracking, and continuous improvement 

    Human element programs are structured policies and procedures that reduce risk by creating consistency in operational processes and decision-making. As operations and hazards become more complex, the impact of human decisions increases, making well-managed programs essential. 

    How to determine what human element programs your business needs 

    The human element programs your business needs will depend on how it operates and where exposures exist.​ While exposures will vary between businesses, the following programs address common areas where human behaviour can affect the likelihood or severity of a loss, and can serve as a strong starting point for business owners: 

    • Preventive maintenance: Equipment, utilities, and building components can deteriorate or fail when maintenance is informal or inconsistent. A preventive maintenance program helps define what needs attention, how often, and who is responsible. 
    • Hot work management: Cutting, welding, grinding, and other heat-producing work can introduce ignition sources near combustibles, dust, or flammable liquids. A hot work program helps control ignition sources before, during, and after the work. 
    • Fire protection inspection, testing, and maintenance: Fire protection systems may not operate as intended if inspections are missed, or deficiencies are not corrected. An inspection, testing, and maintenance program helps identify and address issues before performance is affected. 
    • Contractor management: Contractors can introduce unfamiliar hazards, work practices, or ignition sources. A contractor management program helps confirm expectations, qualifications, and oversight before and during the work. 
    • Housekeeping: Combustible materials, poor storage practices, and obstructed access can allow hazards to build or go unnoticed. A housekeeping program helps maintain orderly conditions and reduce unnecessary fuel sources. 
    • Smoking controls: Improper smoking practices and discarded materials can create ignition sources near combustible storage, waste areas, or exterior exposures. A smoking control program helps define where smoking is permitted and how materials are safely discarded. 
    • Business continuity and emergency readiness: A serious event can quickly expose gaps in response roles, communication, critical operations, and recovery priorities. A business continuity and emergency readiness program helps clarify how the business will respond and recover. 

    Evaluating whether human element programs are effective. 

    The effectiveness of a human element program depends on two factors: alignment and execution. 

    Start by reviewing where losses could occur and how human actions or decisions may influence the outcome. This helps determine whether the right programs are in place and whether existing programs are properly targeted to the risk. 

    Once the right programs are identified, focus on execution. Effective programs should have clear ownership, documented expectations, comprehensive training, and regular follow-up to confirm that critical tasks are being completed. 

    When these elements are in place, human element programs are more likely to be applied consistently, remain relevant to the business, and reduce the likelihood or severity of loss. 

    How can Brokers support business owners with their human element programs? 

    To support customers in establishing and maintaining effective human element programs, Brokers should collaborate closely with insurers to share risk mitigation expertise and educational resources. Since risks associated with human behavior are always present, it is essential that commercial customers receive ongoing education, coverage tailored to their unique needs, and guidance in implementing – and regularly reviewing – their programs. Providing proactive support can help business owners significantly reduce their exposure. 


    Copyright © 2026 Echelon Insurance. All rights reserved. This article is provided by Echelon Insurance (“we”) for general information purposes to help Brokers and their commercial customers understand how human element programs can reducethe likelihood and/or severity of loss created by human behaviour. While we believe this article is comprehensive, it is provided “as is” and we do not guarantee it is complete. All responsibility and risk relating to specific incidents, including use of this form, are assumed by the commercial enterprise. 

    ® Registered trademark of Echelon Insurance. 

    Echelon Insurance
  • TD Insurance releases client-facing chatbot

    TD Insurance releases client-facing chatbot

    A professional businesswoman walks confidently in an urban setting, carrying an eco-friendly tote bag. She interacts with an AI chatbot on her smartphone, showcasing the integration of technology into her routine. The green cityscape in the background highlights sustainability.

    Earlier this month, TD Insurance released its first client-facing generative AI chatbot, the TDI Virtual Assistant, to help clients find answers through natural-language conversations.

    The virtual assistant retrieves and summarizes information from the TD Insurance website for home, auto and small business insurance to answer general insurance queries. In a conversational tone, it can answer questions on topics such as accident benefits coverage and documentation required to obtain car insurance.

    TD started with those three lines of business because they have the largest volumes in its insurance segment, said Kristen Gill, vice president and executive journey product owner at TD Insurance. The insurer plans to expand the chatbot to life and health insurance at a later stage.

    TDI Virtual Assistant took about a year to build, said Christopher Cooney, vice president of analytics and modelling at TD Insurance. Its development involved the technology solutions team, insurance experts, lawyers, and Layer 6, TD’s AI research and development centre.

    Although Layer 6 had experience developing internal tools at TD, building an external-facing AI posed unique challenges, Cooney added. To mitigate the risk of hallucinations, the chatbot uses retrieval-augmented generation technology, an AI framework that improves large language model accuracy by retrieving data only from trusted content libraries. In this case, TDI Virtual Assistant can only reference material already on TDI’s website.

    Another guardrail was to get the tone of voice right when interacting with customers, Cooney said. Users can tell TDI what’s working and not working by clicking the thumbs up or down feedback icon on the chatbot’s responses.

    Also in the news: What U.S. budget cuts mean for NatCat forecasts

    In its early days, humans will closely monitor the chatbot’s performance to ensure it comes up with satisfactory answers, Gill said. But the goal is to move to machine-assisted monitoring, in which AI helps humans supervise the AI chatbot.

    For now, the chatbot is unauthenticated, meaning users don’t need to log in, so it can only answer general queries, Gill explained. If customers need more personalized advice, such as updating their policy details, the chatbot will encourage them to call for assistance.

    Eventually, TDI intends to provide an authenticated chatbot service, allowing customers to get personalized advice, Gill said. The technology is still in its infancy, and the insurer’s compliance department is exploring what kinds of changes AI would be allowed to make from a regulatory perspective.

    In the future, other client-facing AI applications could include using natural language to help a customer obtain insurance quotes and report claims, Gill added. “We will want to build that capability with the right processes and guardrails and controls to make sure that customer information is safe.”

    Special to Canadian Underwriter from Jonathan Got, a reporter with Advisor.ca and Investment Executive.

  • U.S. Supreme Court revives suit against major logistics company with potentially big effects on industry

    U.S. Supreme Court revives suit against major logistics company with potentially big effects on industry

    The U.S. Supreme Court is seen, Thursday, April 30, 2026, in Washington. (AP Photo/Mariam Zuhaib)

    WASHINGTON (AP) — The Supreme Court on Thursday allowed a man to sue a major logistics company after he lost part of his leg in a semi tractor-trailer crash, a decision that could have big ripple effects across the trucking industry.

    The justices ruled unanimously in favor of Shawn Montgomery, whose parked vehicle was hit by a speeding truck driver on an Illinois highway in 2017. He wants to sue C.H. Robinson, the country’s largest freight broker by size, over its role in putting the driver on the road despite what he called “serious red flags.”

    The decision does not mean Montgomery will necessarily win the lawsuit, which the company is contesting. But the ruling opens the door to increased liability for freight brokers, a key part of the industry.

    The Trump administration and companies such as Amazon had argued that letting the suit go forward would expose logistics companies to liability under a “patchwork” of state laws.

    The Transportation Intermediaries Association, an industry group, said the decision was “deeply disappointing.”

    “This is like asking travel agents to evaluate the safety of a given airline despite the fact that the airline has been licensed to fly by the federal government,” said Chris Burroughs, the group’s president and CEO. “We are working with our members to assess potential next steps to mitigate the consequences of the Supreme Court’s decision.”

    Montgomery’s lawyers say the trucker had been cited for careless driving in another crash months earlier and that the carrier he worked for had been involved with at least three crashes in a span of about five months.

    Montgomery’s lawsuit said C.H. Robinson should share liability because it hired the carrier despite those problems.

    Montgomery’s appeal was backed by more than two dozen states. They said a win for him would help bolster safety in an industry that moves billions of tons of goods across billions of miles every year.

    The company argued the suit, filed under state law, must be tossed out because brokers rely on the federal government to regulate carriers and federal law trumps state law.

    But in an opinion by Justice Amy Coney Barrett, the Supreme Court disagreed. The justices found Montgomery’s claims can move forward because they fall under an exception for safety regulations. The high court overturned a lower-court ruling in the company’s favor.

    The decision could increase insurance costs for freight brokers that eventually “cascade through the economy” and result in higher prices for consumers, Justice Brett Kavanaugh wrote in a concurrence joined by Justice Samuel Alito.

    Still, “truck safety is a matter of life and death,” Kavanaugh wrote.

    C.H. Robinson, which is based in Eden Prairie, Minnesota, pointed to another part of his concurrence, where he said the decision does not mean brokers will be “routinely subject” to lawsuits.

    “We will keep working with policymakers, advocates, carriers, our customers, and others across the industry to strengthen the national safety system and advance practices that reduce accidents on America’s roads,” said Dorothy Capers, the company’s chief legal officer.

    The ruling could have far reaching effects if brokers can be held liable for the actions of the trucking companies they hire, said Brian Watt, who runs a freight logistics company in Florida.

    Brokers will now have to focus more on the safety records of the truckers they contract with to haul all kinds of goods, including hazardous materials, instead of just looking for the cheapest and fastest option.

    “More than 28,000 federally licensed brokers currently operate in the United States with virtually no meaningful federal safety oversight regarding how they select carriers,” Watt said in a post on LinkedIn. He said there are tougher standards for brokers that arrange shipments out of ports and on railroads, but that highway shipments face fewer restrictions.

    The Transportation Department has been cracking down on the trucking industry over the past year by trying to force unqualified drivers, trucking companies and schools out of the industry.


    Associated Press writer Josh Funk in Omaha, Nebraska, contributed to this report.

  • Meet Aviva Canada’s new chief people officer

    Meet Aviva Canada’s new chief people officer

    Aviva Chief People Officer Anne Berend

    Aviva Canada has appointed senior human resources executive Anne Berend as Chief People Officer, effective June 1, 2026.

    Berend has 30 years of experience across the financial services, telecommunications, technology, and consumer goods sectors.

    “I’m delighted to welcome Anne to my senior leadership team,” Aviva Canada CEO Nav Dhillon comments. “Anne’s deep expertise in talent management will be invaluable as we continue to build on and elevate the brilliant culture and world-class teams we have at Aviva.”

    Most recently, Berend was the chief human resources officer at Great Canadian Gaming Corporation, responsible for enhancing areas including talent management, succession planning, and performance management.

    Before that, Berend headed up the Human Resources departments at RSA Canada and Meridian Credit Union. In addition, her LinkedIn profile shows five years of executive human resources experience with Rogers Communications from 2012-17, as well as with IBM and Coca Cola before that.   

    In this new role, Berend will report to Aviva Group and will be a member of Aviva Canada’s executive committee.

  • Envista Forensics Expands Civil and Structural Engineering Team in Calgary with New Project Engineer

    Envista Forensics Expands Civil and Structural Engineering Team in Calgary with New Project Engineer

    TORONTO, ON, MAY 14, 2026/insPRESS/ – Envista Forensics is pleased to announce the continued growth of its civil and structural engineering team in Calgary with the addition of Phillip Adegbayi, MSc., P.Eng. This addition reflects Envista’s ongoing investment in strengthening its forensic engineering capabilities to support complex infrastructure assessments, failure investigations, and insurance-related engineering evaluations across Western Canada.

    Phillip is a civil/structural engineer with over 12 years of experience in the design and assessment of infrastructure across the energy, industrial, and commercial sectors. His expertise includes lattice towers, modular construction, and industrial facilities, with specialized knowledge in structural analysis, blast-resistant design, fire protection systems, and code compliance. Throughout his career, Phillip has contributed to a wide range of multidisciplinary engineering projects involving structural appraisals, field inspections, and technical coordination across complex project environments.

    Phillip also brings advanced experience in digital engineering workflows, including Building Information Modeling (BIM) and Virtual Design and Construction (VDC), supporting efficient project execution and detailed engineering analysis.

    As a Project Engineer with Envista Forensics, Phillip applies his technical expertise to support forensic investigations, failure analysis, and engineering evaluations related to insurance claims and complex loss matters.

    “Phillip brings a strong combination of technical expertise, field experience, and advanced engineering analysis capabilities to Envista Forensics,” said Robert Townsley, Regional Technical Leader at Envista Forensics. “His experience with complex industrial and structural systems enhances our growing forensic engineering capabilities in Calgary and across Canada.”

    A Commitment to Forensic Engineering Excellence

    Envista’s civil and structural engineering experts investigate failures and damage involving buildings, industrial facilities, infrastructure, and specialized structural systems. The team provides technical analysis and forensic evaluations related to construction defects, structural failures, catastrophic events, fire and explosion incidents, weather-related damage, and other complex losses.

    Through detailed site investigations, engineering analysis, and code-based evaluations, Envista’s experts help clients determine cause, extent of damage, repair considerations, and risk mitigation strategies for residential, commercial, industrial, and energy-sector projects.

    With the addition of Phillip Adegbayi, Envista Forensics continues to expand its civil and structural engineering capabilities across Canada, ensuring clients receive timely, comprehensive, and reliable forensic engineering expertise.

    About Envista Forensics

    Envista Forensics is a global leader in forensic consulting services. We provide failure analysis, fire and explosion investigations, digital forensics, construction consulting, geotechnical engineering, and damage evaluations following disasters of all kinds.

    Envista has served the insurance, legal, and risk management industries for more than 40 years. Our experts travel globally to various offices located across North America, Singapore, and Australia. Visit our website at www.envistaforensics.com for more information.

  • As AI fuels a surge in travel scams, here’s how you can protect yourself

    As AI fuels a surge in travel scams, here’s how you can protect yourself

    Travellers are seen walking at Montreal-Pierre Elliott Trudeau International Airport in Montreal on Wednesday, March 18, 2026. THE CANADIAN PRESS/Christinne Muschi

    Mark Kalinowski’s dad fell for a classic travel scam.

    “Someone called one day and said, ‘Hey, good news, you won a trip to Florida. It’s all paid for. Just pay that $200 upfront holding fee,’” Kalinowski recalled from his home in Calgary.
    “He’s like, ‘Oh yeah, let me give you my credit card.’”

    His dad didn’t sweat the loss, which occurred over a decade ago. But since then, the stream of travel scams has become a flood, posing pitfalls that range from fake websites to phishing emails, phoney vacation listings and hacked loyalty points.

    The Association of Canadian Travel Agencies and Travel Advisors, along with other industry groups abroad, has warned about a proliferation of scam and fraud attempts over the past several years as artificial intelligence tools expand the range of criminal opportunities.

    Online travel giant Booking.com said in 2024 that AI had fuelled an increase in travel scams of between 500 and 900 per cent over the previous 18 months.

    That same year, Flight Centre Canada told The Canadian Press it worked with Google and other search engines to take down more than 200 fraudulent listings on impostor websites in just one month after the search results began appearing in online queries for the travel agency.

    Kalinowski, a financial educator at the Credit Counselling Society, says would-be customers should be wary of online ads that link to third-party platforms posing as a hotel or airline.

    “Scams are becoming more prevalent. People from all different segments and classes and cohorts of life fall for them. It’s not a question of intelligence,” he said.

    Some fraudulent websites take photos and information from hotel, airline and cruise sites to create the impression customers are booking through those same companies.

    “If you book from one of these sites, there’s no guarantee you’ll get the room you paid for, and you may not find out until you arrive at the destination — and by that time, your money is likely gone,” Toronto-Dominion Bank warned in a post about travel scams on its website.

    Fraudulent postings on vacation rental platforms pose similar risks.

    “You’ll think you’re booking an Airbnb or VRBO, and there’s just nothing there when you arrive on the other side,” Kalinowski said.

    Other telltale signs of a travel scam include deals that appear too good to be true, high-pressure sales tactics and requests for payment outside usual methods, such as wire transfers rather than payment through the Airbnb app, for example.

    Kalinowski recalls one ad, supposedly for Southwest Airlines, that bundled those first two red flags — a tempting offer and urgency — together by offering free flights to the first 500 people who booked via a particular website.

    “I don’t know when the last time you had a free flight was,” he said. 

    “It’s been a long time for me.”

    Other potential tells include a request to pay via gift cards or cryptocurrency, rather than going with secure payment methods such as credit cards, which often offer protection if something goes awry.

    To guard against scams, travellers should take care to visit a hotel, airline or cruise line’s actual site by typing it in directly or at least double-checking it rather than clicking on an ad. They can also book through a well-known travel agency.

    Customers can find further peace of mind by contacting the provider — the airline or hotel, for example — afterward to verify a booking.

    To steer clear of bogus vacation rentals, consult reviews and do a Google Street View search to check the address, said Pat Pellegrini, CEO of consumer research firm Vividata. A reverse image search can also reveal if those photos of a sumptuous beachfront patio are copied from another site.

    “There’s a lot of bad players, so it makes you have to do a lot more work,” Pellegrini said. Among those bad actors, loyalty points remain a prime target, often via AI-driven phishing attempts.

    “The odds of you getting a phishing email that’s looking for your credentials, and they’ll just keep trying to throw stuff at you until they get through, are very high,” Pellegrini said. “Loyalty points have been taken in the same manner.”

    Phishing — emails, texts or calls that trick victims into handing over banking details or other sensitive information — saw an especially big surge in recent years, according to Booking.com. Phishing messages are often identifiable by their use of urgent or threatening language, requests for financial info and spelling or grammar mistakes.

    For those who do get scammed, report it to local police, the Canadian Anti-Fraud Centre, and the platform that hosted the scam — Google or a short-term rental platform, for example — advises RateHub, an online comparison site for financial products.

    Victims should also reach out to their bank or credit card company as soon as possible to try to freeze the payment as well as any compromised accounts, and to monitor for suspicious transactions.

    Victims can then notify credit bureaus to flag possible changes to their credit file.

    This report by The Canadian Press was first published May 7, 2026.

  • 2026 Q1 Cat updates: When less is more

    2026 Q1 Cat updates: When less is more

    Funny kitten

    Flood watches, warnings, and outlooks remain in place across Ontario as the spring thaw continues. However, based on national 2026 Q1 results, natural catastrophe (NatCat) claim numbers are down.

    “Only two Cats have been declared this year,” says Institute for Catastrophic Loss Reduction managing director Glenn McGillivray, “both small.”

    Although the first quarter is generally pretty quiet for NatCats in Canada, even a slight drop is still good news. NatCat losses dropped in 2025 to around $2.4 billion after an historic $9.4 billion dollar high in 2024. Last year, however, still clocked in as the tenth most expensive year on record. In fact, according to CatIQ, 2025 losses ranked second overall in terms of catastrophes declared and in ice storm losses. The year also topped the list in declared fire catastrophes.

    Q1 insights and outcomes

    “Comparing Q1 this year to Q1 2025, the losses are 15% of last year,” says Laura Twidle, CEO at CatIQ. Twidle notes that while the first quarter of 2026 did bring a few thousand claims around common seasonal snow, freeze, thaw, and melt events, there were still fewer year-over-year NatCat events and claims.

    Also in the news: Brokers’ next big E&O risk

    Intact Financial Corporation, parent company of Canada’s largest carrier, referred to 2026 Q1 Cat activity as “benign.” Executives on the company’s 2026 Q1 earnings call told investors first-quarter Cat losses were $141 million, driven primarily by winter storms and large property losses in the UK. Overall, including the company’s US and UK operations, Intact expects $1.2 billion of annual catastrophe losses in 2026, with about one-third of that expected in the second and third quarters.

    Adjusters make similar observations.

    “Overall activity has been relatively moderate so far this season,” says Christine Segaric, director of Cat response for ClaimsPro. Segaric says volumes are tracking slightly below last year and ClaimsPro has not seen a meaningful increase in claims related to recent weather events. “That said, it’s still early in the season, and we will continue to monitor conditions closely.”

    McGillivray points out that the four record events in 2024 all happened within about six weeks and totally changed the complexion of the year in a very short time. As a case in point, he cites the Fort McMurray wildfire with $4 billion in insured loss. There is, he notes, also no final data in terms of the recent events in Northern Ontario. “It will take time to see how those events shake out.”

    Melt events in Q2

    Twidle notes the snow, freeze, thaw, and melt events so far this year are in similar locations witnessed at the same time last year. “We typically see [them] in Ontario and Quebec each winter,” she says. A spike in warm temperatures in late April drove a rapid thaw and elevated water levels at the start of Q2.

    An Ottawa River rising led some residents in Gatineau, Quebec, to voluntarily evacuate last month, for example. At least 200 buildings flooded and a few hundred more were at risk. Quebec City also saw several road closures due to heavy rainfall.

    Conversely, though since lifted, states of emergency were declared across parts of Northern Ontario during that same time. Ontario’s Flood Forecasting and Warning Program highlights the 19 districts impacted. As of May 7, only a few of those districts remained under flood warnings, including the Lake Nipissing Shoreline and some of its surrounding areas.

    Based on declining water levels and projection data, Greater Sudbury lifted its State of Emergency on May 1 and moved into its recovery phase. The municipality’s Flood Waste Relief Program has also been initiated “to help support residential property owners affected by flooding who do not have flood insurance.”

    While the industry awaits the claims numbers and claims costs associated with these events, Q1 results are still worth noting. Yes, the year can change in what McGillivray calls “the snap of a finger,” but for now, the industry can enjoy this seasonal win.