Canadian insured catastrophe losses hit C$2.4bn in 2025, ninth largest on record: CatIQ

Insured catastrophe losses in Canada reached CAD $2.4 billion for full-year 2025, marking the ninth-largest loss year on record for the country, placing it at the lower end of the past five years of annual loss totals, according to an estimate from CatIQ, Canada’s insured loss and exposure indices provider.

At the same time, estimates from the Institute for Catastrophe Loss Reduction (ICLR), show that uninsured losses amounted to a further $1.0 billion, bringing total societal losses for the year to $3.4 billion.

As mentioned, the $2.4 billion in insured losses, makes 2025 the ninth-largest loss year on record for Canada. However, it places it well below the record-breaking $9.1 billion figure that CatIQ recorded in 2024.

Although 2025 was an average year regarding overall losses, it was ranked second for the total number of declared catastrophes, second for losses due to ice storms, and first for fire-related catastrophes.

CatIQ highlighted that the ice storm that struck Ontario and Quebec in late March was the costliest event in 2025, which resulted in nearly a quarter of the annual insured loss total at $490 million.

In its fourth industry loss estimate for the event, which was released in September 2025, CatIQ increased its estimate from $416 million to $490 million.

CatIQ noted that this ice storm now ranks as the second-costliest ice storm on record, behind the 1998 ice storm, which caused an estimated $2.3 billion in losses.

Laura Twidle, President and CEO of CatIQ, commented: “While 2025 marked a welcome reprieve after the record-shattering losses of 2024, the data shows that this “average” year was anything but. We saw the highest number of fire-related CATs declared, and, perhaps more notably these all occurred in provinces that had never had a prior industry fire catastrophe.

“Those events came after a string of quiet catastrophes that saw the year start with a series of snow- and melt-related events in southern Ontario and Quebec, culminating with a major ice storm that drove almost a quarter of the year’s losses.”

Twidle continued: “With 17 events overall, the year is now tied in second for the largest number of catastrophes declared, demonstrating that even a “slow” year brings its own challenges.”

Paul Kovacs, Executive Director of ICLR, said: “Extreme hazards cost Canadians billions of dollars in insured and uninsured damage each year. In 2025 this included winter storms and wildfire damage across the country. In 2024 this included flooding, hail, and wildfire. It need not be so. Small investments in proven protection can reduce or prevent most losses.”