While insurance inflation is often linked to climate risk or rebuild costs, our analysis examines how deferred maintenance and costly renovations are quietly compounding risk for homeowners and driving premiums higher in certain cities.
View findings for all provinces and 15 major Canadian cities here: https://www.mychoice.ca/blog/aging-housing-supply-insurance-impact/
Key Findings:
- Homeowners in Regina (SK), London (ON), and Ottawa (ON) face the greatest financial strain. These cities have a high rate of homes needing repairs, sharp increases in renovation costs, and double-digit insurance inflation.
- In Regina (SK), for example, renovation inflation surged by 6.74% in 2025, insurance premiums rose by 12.28%, and 7.45% of homes require major repairs.
- In Ottawa (ON), insurance premiums increased by 14.3%, with 1 in 5 homes being built before 1960 and 6.60% of houses requiring major renovations.
- Winnipeg (MB) and Montreal (QC) both have aging house stock and high repair needs. In Winnipeg, over 26% of homes were built before 1960 (the highest in the country), with 8.81% of homes needing major repairs and rising renovation costs (+3.29%).
- Montreal shows a similar pattern, with aging homes (23.89%) and high renovation needs (7.38%).
- The housing situation in London (ON) is also getting worse. With nearly 20% of homes built before 1960, 6.36% needing major repairs, and renovation inflation nearing 5%, London homeowners are being hit from all angles. Insurance premiums rose 12.15% in 2025, one of the highest in the country.
- Quebec City (QC) and Saskatoon (SK) experience the largest increases in renovation inflation. Quebec City (+6.29%) and Saskatoon (+4.13%) are experiencing a steep rise in renovation costs, suggesting a growing barrier to home maintenance.
- Toronto (ON) and Vancouver (BC) appear to have more stability. These markets have newer housing stock and relatively low renovation inflation, which may help cushion the blow. But even here, insurance premiums are still trending upward, with Toronto at +8.12% and Vancouver at +9.94% in 2025.
- In Halifax (NS), 6.86% of homes require major repairs, nearly 12% were built before 1960, renovation costs rose 2.87% in 2024–2025, and while insurance premiums increased a modest 2.46%, the underlying risk pressures are clearly building.
- Edmonton (AB) and Calgary (AB) stand out as exceptions, with relatively new housing stock (under 10% of homes built before 1960), low shares of homes needing major repairs (6.43% in Edmonton, 4.32% in Calgary), and despite renovation inflation of 3.31% and 3.63% respectively, insurance premiums declined by 1.03% and 2.33%.
- Homeowners in High-Risk Cities Should Prepare for Budget Pressures. In cities where aging infrastructure, costly repairs, and a rising risk of weather-related disasters are accelerating (i.e. Regina, Winnipeg and Saskatoon), homeowners may face escalating financial pressures just to maintain and insure their homes.
When renovation costs rise, homeowners delay repairs, increasing the likelihood of claims related to plumbing, wiring, water damage, and structural failures.
As MyChoice CEO, Aren Mirzaian, puts it: “Older homes with deferred maintenance pose higher risks for water damage, electrical fires, and system failures. When repair costs rise, delays become more common and that ultimately pushes premiums higher.”
