Beaconsfield homeowner waited six months for insurance payout after summer floods

One Montreal homeowner had to wait over half a year for an insurance cheque after major flooding in August caused by massive rainfalls.

Steven Shen thought he’d escape last summer’s floods, until he saw water levels reach the top of his underground garage door in his Beaconsfield town house.

It happened on Aug. 9, when record rainfalls led to floodings in several parts of the city.

His basement was destroyed. From the floor to the electric wiring, the heat pump, and even the stairs.

“We filed a claim and then the claim was confirmed on Aug. 10,” explained Shen, with his living room still filled with boxes rescued from storage.

He said an adjustor took weeks to examine the damage. But Shen said for months, TD Insurance kept telling him they were reviewing his file. With winter approaching, he had to do some of the work himself, out of his own pocket, and a few good friends.

“Because at that time, we had no settlement money, so we had to do everything by ourselves.” He ripped the floors, and the contaminated drywall.

When it came time to do the electricity and other urgent repairs, Shen, ran out of savings.

“I’m embarrassed to say that because my daughter is in high school. And I think going back to my parents and say, ‘okay, can you lend some money to go through this tough patch?’”

Shen kept a detailed log of all his communications with his insurer.

He said he found out in January through TD Insurance that the initial adjustor didn’t file the paperwork correctly. And that it had to start the process all over again. Six months after the flood.

“They only told me they are still assessing the case,” explained Shen.

According to the Insurance Bureau of Canada, such delays are abnormal. Bureau spokesperson Pierre Babinsky said 85 per cent of the 85 000 claims have been settled. They represent $2.7 billion in losses, the highest damages since the ice storm of 1998.

While the bureau couldn’t comment on Shen’s case. It added that after a major disaster there can be issues for many policy holders.

“With that number of claims, obviously it’s difficult to find contractors who can immediately start work, explained Babinsky.

The insurance bureau said customers who have issues dealing with their insurance companies must file a formal complaint first. The insurers then have an obligation to respond.

The insurance bureau can also act as a facilitator and if all else fails, customers can take their issue to the Authorite des Marches Financiers, which oversees the insurance industry in Quebec.

This is all new to Shen, who said he never had to make an insurance claim before in his life.

“I’m like you—I’m very patient. So, you know, I understand this is a difficult situation. But waiting until January 2025? I think my patience has already run out.”

Just as CTV News reached out to TD Insurance, the company settled Shen’s claim. TD Insurance said the case was complex because some of the damage occurred in common areas. His townhouse shares an underground garage with neighbouring units, which is where the water entered the building.

In a statement the the company said:

“When large weather events occur, like the severe rain that impacted Quebec, claims processing times sometimes take longer than normal. We apologize for these unusual delays and any inconvenience they may have caused.”

With his claim now settled, Shen said he hopes no one else has to go through what he did.