Canadians living in wildfire-prone regions are being hit with soaring home insurance premiums, according to a new report from real estate platform Wahi and insurance-rate aggregator MyChoice.
The analysis looked at real estate and insurance data across 21 Canadian cities considered most at risk of severe wildfire activity in 2025. It found dramatic increases in insurance costs in communities where wildfire danger is highest.
Kamloops among hardest hit
In Kamloops, B.C., premiums have nearly doubled since 2023. The average annual cost now equals almost 9% of a typical mortgage payment — about five times the national average. That shift makes insurance one of the biggest affordability pressures for homeowners in the city.
Kelowna, Regina, and other high-risk cities with wildfire scores of 9 on a 10-point scale also saw steep increases. By contrast, Ontario cities such as Barrie and Timmins, with moderate risk scores of 4 or 5, faced smaller but still notable premium hikes.
Why premiums are climbing
The surge follows two catastrophic wildfire seasons. 2023 was the most destructive on record, burning an area larger than all three Maritime provinces combined. 2024 ranked sixth, further straining insurers and raising costs.
“This report demonstrates the myriad forces affecting housing affordability in Canada beyond supply and demand, such as carrying costs,” said Wahi economist Ryan McLaughlin. “It’s also another example of how data empowers homebuyers to make informed decisions, budget, and manage expectations.”
Risk scores guide the outlook
Earlier this year, MyChoice developed wildfire risk scores based on the Forecast Severity Rating and Forecast Severity Anomaly from the Canadian Wildland Fire Information System. The new report compared those risk levels with changes in home insurance premiums, finding a clear link between higher wildfire risk and higher insurance costs.