Conventional insurance policies can provide coverage for most — but not all Canadians. Understanding the difference between a traditional policy and one that is designed to cover your unique lifestyle is key to help identify if you're leaving yourself at a greater financial risk.

Standard insurance, like homeowner’s insurance, may provide enough coverage for most Canadians – but not all. In fact, the majority of affluent Canadians are actually underinsured. They’ve got insurance that isn’t designed to cover most luxury properties and other valuable assets.

What is Private Insurance?

When your business, professional and private assets grow, so do your risks. Private insurance policies are uniquely designed to address those risks by offering specialized coverage traditional policies do not. Your dedicated specialist can easily conduct a Personal Risk Assessment to help identify gaps in your insurance coverage — especially for items like vacation properties, collectibles, and even your home wine cellar.

Most Canadians don’t realize they’ve outgrown their insurance policies until the worst happens. Now’s the time to consider your unique assets and risks – and how best to protect yourself and your family.

Do You Need Private Insurance?

If any of these apply to you, you may need private insurance:

  • The replacement cost of your home is greater than $1 million
  • You have collections of art, jewelry, wine, or more
  • You collect cars or luxury vehicles
  • You have boats, motorcycles, or snowmobiles
  • You volunteer on a not-for-profit board
  • You have a need for increased personal liability coverage
  • You employ a housekeeper, nanny, dog walker, or personal trainer
  • You own a cottage or other secondary residences
  • You own property outside of Canada
  • You are a global traveler

Protect Yourself from Liability

Even common scenarios can put you at risk. If you throw large parties or host friends at your vacation property or on your boat, you’re taking on the risk someone could get hurt. Private insurance helps ensure you have the right protection to match your wealth, assets, and unique exposures that come with your lifestyle.

Protect Your Collectibles

Most traditional policies include a limited amount of coverage for collectibles and special limitations for items like art, wine, and jewelry. Private insurance makes it possible to insure individual items for their unique worth and reimbursement options. You can even temporarily insure newly acquired jewelry and other items before you have their value assessed.

Protect Your Property

Luxury home additions, like smart-home and security systems or climate-controlled wine cellars, are not covered under typical home insurance policies. Private insurance solutions cover these. They also offer funds to upgrade damaged equipment (like a water heater, furnace, or AC system) to newer, more energy-efficient models, following a covered claim.

Protect Your Mental Health

In the unfortunate case of a break-in or theft, private insurance can cover counselling and related expenses. That means you can put the mental health of yourself and your family first.

Protect Your Reputation

Affluent families are more susceptible to lawsuits. Private insurance can help pay for independent legal advice and public image consultation to help protect your name and reputation.

Explore Your Private Insurance Options Today

The best insurance policies address your precise needs and provide the exceptional customer service you deserve.

Work with an RBC Private Client Insurance Specialist for end-to-end white-glove service. The person who conducts your risk assessment will be the same one you’ll contact if you need to make a claim. They’ll get to know your unique situation and offer customized care you won’t find elsewhere.

Ready for enhanced protection? Please call our VIP service line at 1 800 769-2517 or request a private consultation here.

Liability, home, auto, leisure and lifestyle insurance products (except for collector car insurance) are distributed by RBC Insurance Agency Ltd. and underwritten by Aviva General Insurance Company. In Quebec, RBC Insurance Agency Ltd. is registered as a damage insurance agency. As a result of government-run auto insurance plans, RBC Insurance does not offer auto insurance in Manitoba, Saskatchewan, and British Columbia. Actual coverage may vary by province. Certain conditions, limitations and exclusions may apply. For full terms and conditions, speak with your RBC Private Client Insurance Specialist and refer to the insurance policy wording.

Collector vehicle insurance is available through Hagerty Canada, LLC and underwritten by Elite Insurance Company, a subsidiary of Aviva Canada Inc. Some coverages are not available in all provinces. Hagerty is a registered trademark of the Hagerty Group, LLC.

TM Trademark(s) of Royal Bank of Canada. Used under license.

This article is intended as general information only and is not to be relied upon as constituting legal, financial or other professional advice. A professional advisor should be consulted regarding your specific situation. Information presented is believed to be factual and up-to-date but we do not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed. All expressions of opinion reflect the judgment of the authors as of the date of publication and are subject to change. No endorsement of any third parties or their advice, opinions, information, products or services is expressly given or implied by Royal Bank of Canada or any of its affiliates.