Ontario Home Insurance: What's Covered, What's Not, and How to Save

The four things every Ontario home policy covers

A standard homeowner policy in Ontario bundles Dwelling (the structure), Detached Structures (garage, shed), Personal Property (contents), and Personal Liability (typically $1M-$2M).

Most policies also include Additional Living Expenses when your home becomes uninhabitable after a covered loss.

What's typically not covered by default

Sewer backup, overland water (flood), earthquake, and service-line failures are usually optional endorsements. In many Ontario cities — including Toronto, Hamilton, and Ottawa — sewer backup coverage is close to non-negotiable given aging infrastructure.

Replacement cost vs. actual cash value

Insist on Guaranteed or Extended Replacement Cost for the dwelling and Replacement Cost for contents. Actual Cash Value depreciates payouts and can leave you tens of thousands short after a total loss.