IBC applauds the BC government's initiative to prepare for a catastrophic seismic event

VANCOUVER, March 11, 2014 /CNW/ - Insurance Bureau of Canada (IBC) applauds today's announcement by the Government of British Columbia for initiating a consultation and public education campaign on all aspects of earthquake preparedness and response.

"The Property & Casualty insurance industry agrees that it's time for regional and national conversations on how to prepare for a mega-earthquake, which could happen at any time," said Bill Adams, IBC's Vice President, Western and Pacific. "We look forward to participating in and supporting this important initiative," he added.

Last October, IBC released the results of a study it commissioned on the impact of two possible major seismic events, one in British Columbia and the other in eastern Canada. The western scenario shows the potential effect of a 9.0-magnitude earthquake off the west coast. Overall economic losses in that scenario could total almost $75 billion.

"Events of this magnitude have a domino effect on the economy triggered by property damage, supply chain interruption, loss of services, infrastructure failure and business interruption," Mr. Adams said.  "If a mega-earthquake should strike in a densely populated area, the insurance industry would play a key role in the recovery. That's why the industry has made preparing Canada for an earthquake one of its strategic priorities."

About Insurance Bureau of Canada
Insurance Bureau of Canada (IBC) is pleased to celebrate 50 years as a valuable resource for insurance information. Since 1964, IBC has been working with governments across Canada to make our communities safer, championing issues that directly affect Canadians and the property and casualty (P&C) insurance industry. IBC is the national industry association representing Canada's private home, car and business insurers. Its member companies represent 90% of the P&C insurance market in Canada. The P&C insurance industry employs over 118,600 Canadians, pays more than $7 billion in taxes to the federal, provincial and municipal governments, and has a total premium base of $46 billion.

Editors please note:  Below are links to the IBC commissioned study on the economic impact of a major earthquake in Canada.

Executive Summary:
http://www.ibc.ca/en/Natural_Disasters/documents/IBC_EQ_Study_Summary.pdf

Full report:
http://www.ibc.ca/en/Natural_Disasters/documents/IBC_EQ_Study_Full.pdf

SOURCE: Insurance Bureau of Canada

Steve Kee
Director, Media Relations 
416-362-2031 X-4387
[email protected]