Concern that provincial disaster relief is not enough

CALGARY (660 NEWS) — Almost two weeks since a massive hailstorm damaged ten of thousands of homes and cars around Calgary, some relief is being given by the provincial government.

But Thursday’s announcement that the Disaster Relief Program will be used to provide some funding is also coming with some confusion, as affected residents do not think it will apply to them.

“I think what the Premier announced will be covering less than one per cent affected by this hailstorm disaster,” said Khalil Karbani, a northeast Calgary resident who previously sent a letter to the premier asking for relief.

In his press conference, Jason Kenney said insurance companies should be able to cover about 99 per cent of the more than 30,000 claims sent in so far, with the relief being provided only covering the minuscule amount of uninsurable private property damaged in the storm.

The province will also cover some municipal damage and costs, which could be over $10 million said Mayor Naheed Nenshi. Karbani said that the program will not offer nearly enough relief, as he has heard that some insurance companies will only cover about 20 per cent of the damage — even if people do have proper hail coverage.

“Most people in this particular area will be coming up with $10,000 out of their own pockets to get their house back to where it was the day before the storm,” he said.

Kenney said he does not want taxpayers to bail out insurance companies and called on them to be generous and offer the proper assistance.

Residents in the area have also been concerned about rising deductibles, as previous storms like one that hit in 2016 have caused their values to depreciate and sent payments skyrocketing.

That, combined with the COVID-19 pandemic, has left people short on cash even before the balls of ice rained down on June 13. Karbani knows the province is in a tough financial position as well, though he still feels a helping hand is not too much to ask.

Nenshi said he understands the point about not bailing out insurance companies, however, he has a feeling more could be done.

“Clearly this is an important first step,” he said. “But I also take the human side of it and say you know what, there are a lot of people who are hurting. These are not normal times.”

Nenshi said the city may consider giving out debit or credit cards to people to help with some of the expenses, and they will also be having discussions with insurance companies about a possible need to adjust the types of building materials used on new homes so they are more hail resistant.

Nevertheless, Nenshi said something must be done quickly because the repairs are sorely needed.

“These are not optional expenses, you have got to fix your house. If you don’t fix the siding on your house, you’re going to get mould, the house is going to rot, and that’s going to be a much worse problem for everybody,” he said. “But who amongst us can just find $10,000?”

Karbani said without ample help coming from the municipal or provincial governments at this time, he and his neighbours are considering appealing to the federal government for assistance.

In the meantime, people are still having trouble connecting to their insurance companies to get an initial assessment, and Karbani is advising people to contact the Insurance Bureau of Canada with any further concerns they may be having.