Kamloops, Kelowna among most expensive Canadian cities to insure a home

It’s getting more expensive to buy a home in the Thompson-Okanagan, and it’s not just the price tag or the interest rate on the mortgage.

Wildfire risk means higher insurance costs especially in Kamloops where the cost grew more than any other city in Canada.

That’s according to a recent study that compared rates across the country over the past two years and found insurance premiums in Kamloops nearly doubled during that time.

While overall home prices in Kamloops are lower in comparison to major BC cities, the average $1,893 annual home insurance premium jumped to $3,743 this year, the study said.

MyChoice, a tech company that compares insurance rates across providers, compared thousands of quotes in 2023 and 2025. It found regions prone to wildfires have seen rates rise faster than home prices.

“Homeownership costs are no longer just about mortgage payments — climate risk is rapidly becoming a key financial factor,” CEO Aren Mirzaian said in a news release.

The study found the average 2025 annual insurance premium in Kelowna was around $300 cheaper. The student didn’t include any other Okanagan cities. Kelowna was already pricier for insurance with a 52 per cent increase from the average of $2,250 in 2023.

They were almost triple the national average with insurance inflation calculated at an average 12% and an annual cost of $1,043, according to the report. That appears to be due to lower wildfire risks in Ontario and Quebec.

“Ultimately, the story emerging from our research is that climate change has injected a new financial reality into homeownership. Insurance, once a relatively static line item, is becoming a dynamic and significant factor in the cost of owning a home,” the news release read.

The report mirrors similar findings to a recent report issued by the BC Business Council.

That report focused on property tax increases across the province, which nearly doubled since 2010, and it found home and mortgage insurance rose far more.

The average BC consumer is spending almost 150% more on insurance now than they did in 2010. That’s more than any other typical consumer good except for the 192% increase in beef products, according to data compiled from Statistics Canada’s consumer price index.

In BC, Victoria and Vancouver are lower on the list with the former rising by 44% to $2,102 and latter by 31% to $1,924.

The only cities where insurance rates dropped from 2023 to 2025 were Calgary, Edmonton and Grande Prairie, but another Alberta city topped the list. Taking up nearly a fifth of monthly mortgage payments, the average 2025 insurance quote in Medicine Hat was $3,875, according to the report.

“As climate risks mount, all stakeholders — insurers, governments, and homeowners — will need to collaborate on solutions that keep insurance both affordable and available. The balance is delicate, but it’s one we must strive to achieve to protect the dream of homeownership in an era of increasing wildfire threats,” the MyChoice news release read.