460,000 Dog Bites per year in Canada - ouch!
How prevalent are dog bites?
It is estimated that 460,000 Canadians are bitten by dogs each year and studies suggest that 50 to 70 percent of dog bite victims are children. Dog bites can result in permanent scarring, nerve damage, disease and a significant risk of infection. Often there is psychological harm that lasts well, beyond the physical injury.
Statistics are not readily available here in Canada but studies have been done in the US. In the US, dog bites accounted for more than one-third of all homeowners insurance liability claims paid out in 2009, costing $412 million which is up 6.4 percent from 2008, according to the Insurance Information Institute (I.I.I.).
It is estimated that 460,000 Canadians are bitten by dogs each year and studies suggest that 50 to 70 percent of dog bite victims are children. Dog bites can result in permanent scarring, nerve damage, disease and a significant risk of infection. Often there is psychological harm that lasts well, beyond the physical injury.
Statistics are not readily available here in Canada but studies have been done in the US. In the US, dog bites accounted for more than one-third of all homeowners insurance liability claims paid out in 2009, costing $412 million which is up 6.4 percent from 2008, according to the Insurance Information Institute (I.I.I.).
An analysis of homeowners insurance data by the I.I.I. found that the average cost of dog bite claims was $24,840 in 2009, up slightly from $24,461 in 2008. In fact, over the six-year period since 2003, the cost of these claims has risen nearly 30 percent. Additionally, the number of claims increased by 4.8 percent to 16,586 in 2009 from 15,823 in 2008.
“The rise in dog bite claims over the last seven years (2003-2009) can be attributed to increased medical costs as well as the size of settlements, judgments and jury awards given to plaintiffs, which have risen well above the rate of inflation in recent years,” said Loretta Worters, vice president at the I.I.I. In Canada medical procedures for dog bits are covered under the provincial medical plan so claims cost for insurers is likely to be lower.
More than 4.7 million people in the United States are bitten by dogs annually, and nearly 900,000 of those, half of them children, require medical care, according to the Centers for Disease Control and Prevention (CDC).Of those injured, 386,000 require treatment in an emergency department and about 16 die. The rate of dog bite related injuries is highest for children aged five to nine years old; the rate decreases thereafter. Almost two-thirds of these injuries among children ages four years and younger are to the head or neck region. Injury rates in children are significantly higher for boys than for girls.
With more than 50 percent of bites occurring on the dog owner’s property, the issue is a major source of concern for insurers, the I.I.I. said.
“The rise in dog bite claims over the last seven years (2003-2009) can be attributed to increased medical costs as well as the size of settlements, judgments and jury awards given to plaintiffs, which have risen well above the rate of inflation in recent years,” said Loretta Worters, vice president at the I.I.I. In Canada medical procedures for dog bits are covered under the provincial medical plan so claims cost for insurers is likely to be lower.
More than 4.7 million people in the United States are bitten by dogs annually, and nearly 900,000 of those, half of them children, require medical care, according to the Centers for Disease Control and Prevention (CDC).Of those injured, 386,000 require treatment in an emergency department and about 16 die. The rate of dog bite related injuries is highest for children aged five to nine years old; the rate decreases thereafter. Almost two-thirds of these injuries among children ages four years and younger are to the head or neck region. Injury rates in children are significantly higher for boys than for girls.
With more than 50 percent of bites occurring on the dog owner’s property, the issue is a major source of concern for insurers, the I.I.I. said.
You May find yourself in court or worse.
In most parts of Canada, dog owners are generally protected from liability for dog bites unless it is shown that the dog owners knew that the dog had aggressive tendencies.
Because of the requirement for a dog owner to have knowledge of a dog’s aggressive tendencies before being found liable, the law of dog bites has been summed up in the phrase “every dog gets one free bite”. However, this phrase is not entirely accurate.
Courts have found owners liable because their dog displayed aggressive tendencies without a previous bite in cases where a dog would growl, chase letter carriers, bark or snarl without provocation.
Local bylaws may prohibit certain breeds of dogs or require special handling of these breeds increasing the exposure for dog owners. Violation of the by laws may result in hefty fines (which would not be covered under your home insurance policy).
So, if you your dog is aggressive and displays that temperament regularly you have a far greater responsibility for care afforded visitors and those who may come into to contact with your dog.
Additionally, if a dog attacks and injures someone, it is possible that you could be charged with criminal negligence. This would require a wilful act or disregard by the dog owner before it is likely that you would be charged. From an insurance perspective it is important to remind dog owners that if you were held criminally responsible there would be no coverage under you liability insurance.
Do you have coverage?
It is not a question of whether you could be sued by someone who is bit by your dog since anyone can try to seek compensation. Would they win in court?
Your home policy will respond if you are sued provided it was not criminal. Costs would be covered under the policy to defend you. In other words, the insurance company would pay the lawyer defending you, court costs, and compensate you for some lost income while testifying in court. If you were to loose in court, the settlement would be covered to the policy limits.
There is also an area under you policy called "Voluntary Medical Expenses" that allows you to pay ambulance charges and other medical costs associated to an incident even though you may not be held liable. A limit is specified under you policy and varies slightly from company to company. $2500 is the usual number and can be as high as $10,000.
Do you really have coverage under your policy?
There is a question on most home insurance applications pertaining to dogs and the breed that you own. To protect yourself from any problem at claims time you may want to make sure your agent asked you the question and filled out the application correctly. Failing to properly report it on the application may give rise to a denial of a claim. If the insurance company wants to point to the fact that this information was misrepresented on the application (never filled in, left blank, or forgotten) they may think that they have the right to deny the claim for non-disclosure.
Another habit of dog owners is to use their pets to make money. Dog breeding - is it a business? Some insurance companies see it that way. Don't forget, if you conduct any business activities at your home this needs to be disclosed on the application for insurance and permission needs to be granted by the insurance company. If you fail to disclose the fact that you breed dogs and sell them you run the risk of of the insurance company denying, not just dog bite claims, but any claim that you submit. If the insurance company would have refused to insure you because of this business activity then it is likely you are going to have problems when you make a claim.
It is not something you will be able to hide from your adjuster. If you have a kennel with six dogs in your back yard, it won't take him long to start asking questions.
I suspect that there will be additional liability premiums charged in the future as claim costs for dog bites rise in Canada. Right now I do not know of any companies charging additional premiums for this. I do know some companies have a major problem with insuring dog breeding businesses, even if they are small in nature.
Good advice to all homeowners.
When buying home insurance make sure that your agent provides you with a copy of the application that is submitted to the insurance company. The application forms part of your insurance contract and it needs to be completed accurately. Any good insurance advisor should insist on you getting a copy of your application without exception. You need to be concerned if you ask for a copy and are not provided with one.
Don't forget that you must report any changes that are relevant to your insurance policy even after you purchase your home insurance. A simple phone call is all it takes. An email is better. Send it directly to your advisor and you have a copy of the interaction. Most times you will get a reply in writing that you can save and keep for future reference.
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