High-Value Home Insurance, Ontario

What is High Value Home Insurance?
High-value home and contents insurance is a specialized insurance for those who don’t settle for an ordinary life. If you own a luxury home and high-end belongings, your standard home insurance policy will not cover the expenses of protecting them. High-value homeowners insurance covers the gap and offers unique coverage options. With high-value homes insurance, you get more perks that suit your fancy lifestyle.
St. Andrews Insurance provides personal insurance, like auto and property insurance, and business insurance solutions for our clients from the top insurance providers in Ontario. Our experienced brokers help guide you through the best options to protect your most important assets.
Is High-Value Home Insurance Mandatory in Ontario?
Having high-value house insurance isn’t legally mandatory in Ontario. However, if you choose to buy your home through a mortgage, banks and lenders add it as a requirement. In all cases, having high-value home insurance is highly recommended.
Your home is a valuable possession inside out, built with expensive materials and high-end finishes. It also contains expensive belongings, from top-of-the-line furniture to valuable entertainment systems and other items that would cost a lot to replace.
As careful as you can be, any unexpected event might cause damage to your home and its belongings, like fire, theft, or a natural disaster. That’s why we find it necessary to have home insurance for high-value homes. Instead of paying thousands of dollars to replace losses, your insurance company will cover the expenses within your policy limits.
Do You Need High-Value Home Insurance?
High-value home insurance is for homeowners who have properties that exceed the limits of standard home insurance. If you have a luxury home, a historic home or a home with unique features you likely need a policy that covers the value of your home and the high-value items within.
Here are a few signs you need high-value home insurance:
- Your Home’s Value: If your home’s replacement cost is way above what standard policies cover, luxury home insurance fills in coverage gaps.
- Custom or Unique Features: Homes with high-end finishes, custom architecture, or unique construction materials need specialized coverage that takes into account their individual characteristics.
- Valuable Contents: If your home has high-value items like fine art, rare collectibles or expensive jewelry, a high-value policy covers these assets.
- Extra Coverage: High-value home insurance often includes additional benefits, such as liability coverage, coverage for outbuildings, and help with rebuilding to meet historic preservation standards.
What Is Considered a High-Value Home?
For a house to be considered a high-value home, its value should be higher than $750,000. The value in question refers to the replacement cost, not the real estate value or selling price.
This amount may vary as some high-value home insurance companies set a higher value for what is considered high-value homes.
How Does High-Value Home Insurance Work?
High-value home insurance is similar to traditional home insurance. You pay a monthly or yearly premium to get protection for your dwelling and its contents. In return, if your house or its contents are damaged or lost, you get the replacement cost.
You also get liability coverage so if you cause damage to another property or if someone is injured on your property, your insurance company pays for medical payments and legal costs.
An example of high-value home insurance is a homeowner whose house is valued at $1 million but has a standard home insurance policy with a limit of $700,000. In that case, their insurance company cannot cover the entirety of the damaged home. On the other hand, a high-value home insurance policy’s coverage limits can be extended to match the home insurance cost and cover the house completely. Many insurers offer a minimum replacement cost of $1.5 million.
What Does High-value Home Insurance Cover?
High-Value Home Insurance Endorsements
Policy riders (endorsements) are optional add-ons that allow you to customize your high-value home policy to fit your needs. These endorsements add to the base coverage by covering risks or assets not fully covered in a standard policy. Here are some common endorsements for high-value homes:
What is the Cost of High-Value Home Insurance in Ontario?
On average, the cost of high-value home insurance ranges from $1500 to $5000 per year. The price differs from one homeowner to another, depending on their lifestyle and their home’s unique features.
Factors that Affect the Cost of High-Value Home Insurance:
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Location: The area where your house resides affects the premium rates. Factors like crime rates, proximity to emergency services, and risks of natural disasters all play a part.
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Security features: Having advanced security systems and living in gated communities may qualify you for a discounted rate.
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Coverage limits and endorsements: Additional coverage for valuable items like fine art, jewelry, or wine collections, as well as specific endorsements, can increase your policy cost.
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Home value and replacement cost: The higher the replacement value is, the higher the premium gets. Unique architectural features and premium materials raise the price.
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Claims history: A history of frequent claims or high-value losses may raise the cost of your insurance.
Can You Get High-Value Home Insurance Discounts
Many insurers will give you a discount on your high-value home insurance if you reduce the risks and make your property safer. Here are some ways to qualify for a discount:
- Security Systems: Installing advanced security features like monitored alarms, cameras or smart home systems will reduce the risk of theft or damage and lower your premium.
- Bundling Policies: Combining your high-value home insurance with other policies, like auto or umbrella liability insurance will qualify you for a multi-policy discount.
- Fire Prevention Systems: Homes with fire sprinklers, and smoke detectors or close to fire hydrants and fire stations may be eligible for a discount.
- Claims-Free History: Having a clean claims history shows low risk to insurers and can result in discounts over time.
- Gated Communities or Guarded Properties: Living in a gated community or a property with 24/7 security will reduce premiums as burglary and vandalism risk is lower.
- Membership Discounts: Some insurers give discounts for membership in certain organizations or professional associations.
How to Get High-Value Home Insurance
Securing the best high-value home insurance is straightforward. Follow these steps:
- Assess your needs by determining the value of your home and belongings.
- Choose an experienced insurance high-value home insurance broker. At St. Andrews, we can provide personalized advice, recommend tailored policies, and compare options from multiple luxury home insurance companies.
- Gather the necessary information about your home, including its appraised value, unique features, security systems, and claims history.
- Review your coverage options and endorsements to make sure they meet your needs.
- Request an online quote. We can provide you with quotes from multiple insurers to compare and choose the best option. It also helps to read high-value home insurance reviews from trusted websites.
- After choosing a policy, review it with your broker to ensure all your assets are covered from all potential risks.
Our High-Net-Worth Insurance Products
We offer a suite of high-net-worth insurance products for our clients to celebrate their successes and protect their lifestyles. We aim to provide you with a real sense of security with reliable personal insurance solutions.
High-Value Home Insurance FAQs
Not all brokerages and agencies offer high-value home insurance, but we do. Our team of advisors can help you find the right insurance policy. Contact us today to explore your options.
High-value homes require special insurance because they often exceed the coverage limits of standard policies and have unique features, expensive materials, or valuable contents that need tailored protection.
High-value home insurance offers higher coverage limits, customizable options, and protection for unique features and high-value items, whereas traditional insurance is designed for average homes with limited coverage.
Yes, you can save by installing security systems, bundling policies, maintaining a claims-free history, and ensuring your home has fire prevention systems.
You can insure high-value items by adding endorsements or scheduled personal property coverage to your policy, ensuring they are appraised and fully protected for their worth.
Standard home insurance has limits for high-value items, but with additional endorsements or a high-value home insurance policy, these items can be fully insured for their appraised value.
We cover these areas:
- High Home Value Home Insurance in Toronto
- High Home Value Home Insurance in Vaughan
- High Home Value Home Insurance in Oakville
Get a Quote
At St. Andrews, we understand your need for more than the ordinary coverage. Your luxurious home deserves full protection, as you deserve to feel secure that your insurance protects you. Get a quote now!