Quote data from MyChoice.ca, January 2025
What Risks Affect Homeowners in Thunder Bay?
Thunder Bay is prone to specific perils. When applying for a home insurance policy, keep these risks in mind:
Severe Event Probability in Thunder Bay
On May 28, 2012, Thunder Bay declared a state of emergency when heavy rains and sewer backups inundated hundreds of homes.
Below are the MyChoice severe event probability scores for Thunder Bay, based on the historical data from the Canadian Disaster Database collected since 1950. The percentages reflect the likelihood of a major event in question occurring at least once in the region in the next decade – relative to other regions and events.
How Much Does Home Insurance in Thunder Bay Usually Cost?
The cost of home insurance in Thunder Bay averages around $1,569 per year, higher than the Ontario average. Final rates will ultimately depend on the size of the home, location, and personal requirements.
Quote data from MyChoice.ca, January 2025
Does Where You Live in Thunder Bay Affect Your Home Insurance?
Yes, where you live in Thunder Bay can influence your home insurance rates. Here are some location-specific factors to consider:
Postal Codes With the Most Expensive Home Insurance in Thunder Bay
L1S and L1N postal codes have above-average home insurance rates in Thunder Bay.
| Postal Code | Average Annual Home Insurance Premium |
|---|---|
| P7A | $1,747 |
| P7B | $1,687 |
Quote data from MyChoice.ca, January 2025
Postal Codes With the Least Expensive Home Insurance in Thunder Bay
The L1T and L1Z postal codes have some of the cheapest home insurance rates in Thunder Bay, since they have lower crime rates due to lower population density.
| Postal Code | Average Annual Home Insurance Premium |
|---|---|
| P7K, P7J | $1,524 |
| P7G | $1,498 |
Quote data from MyChoice.ca, January 2025
Why Are Thunder Bay Home Insurance Rates so Expensive?
There are three factors that may be driving up Thunder Bay home insurance rates. Here’s a quick explanation of why these things make premiums higher in Thunder Bay:
- Greater number of older properties: Most homes in Thunder Bay are quite old, so it’s more likely that they have older systems for heating, plumbing, and electricity. This increases your likelihood of filing a claim for a fire or flood.
- Higher real estate values: Real estate prices indirectly affect home insurance premiums. As home values go up, so do the cost of rebuilding and the amount of coverage you’ll need from a policy.
- Housing density: Thunder Bay is densely populated, and most of its homes are connected houses or apartments with very little space between units. This increases the risk of spreading fires between homes.
Housing Data in Thunder Bay
Do you want to know more about what it’s like to live in Thunder Bay? Refer to more housing information from the 2021 Census of Population.
Homeownership Rate by Age in Thunder Bay
Homeownership in Thunder Bay is considered to be fairly average in relation to other cities in Ontario, naturally home ownership increases as a person becomes older and this is evident from the data below with roughly 73.1% of all residents 40 or above being homeowners in Thunder Bay.
| Age Group | Homeownership Rate |
|---|---|
| 15 to 24 | 18.7% |
| 25 to 39 | 54.3% |
| 40 to 54 | 70.6% |
| 55 to 74 | 75.6% |
| 75 and over | 73.7% |
Thunder Bay Population Growth
Thunder Bay’s population slightly increased from 107,909 to 108,843 people between 2016 and 2021, indicating a growth rate of roughly 0.8% over the specified five-year period.
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 Thunder Bay. Talk to your home insurance provider to see what’s covered by your policy in case of loss or damage.
Why Do I Need Home Insurance in Thunder Bay?
Unlike automobile insurance, home insurance in Thunder Bay isn’t mandatory. However, taking out a standard policy can benefit Thunder Bay homeowners in the following ways:
- You get financial protection in case of property damage due to perils like natural disasters, environmental threats, theft, and vandalism.
- You get financial protection if someone sustains an injury in your home and files a lawsuit against you.
- You get financial assistance in case your home becomes uninhabitable. It provides coverage for temporary housing, necessities, and meals.
- You can fulfill mortgage requirements from specific lenders.
- You get peace of mind.
How Can I Get Cheap Home Insurance in Thunder Bay?
If you’re trying to save money on your preferred home insurance coverage in Thunder Bay, visit our Ontario page for practical tips.