What to Do If Your Tenant Insurance Claim Is Denied in New Brunswick

When tenants in New Brunswick face damage or loss in their rental home, tenant insurance can be a lifeline—helping to cover belongings and liability. But sometimes, insurance companies deny claims, leaving renters frustrated and unsure of next steps. This guide explains options for New Brunswick tenants if their insurance claim is denied, and outlines your rights under provincial law.

Why a Tenant Insurance Claim Might Be Denied

Insurance companies may deny a tenant's claim for a range of reasons. Some common causes include:

• Not meeting policy conditions, such as failing to report the loss on time
• Damage that is not covered under your specific policy (for example, certain types of water or fire damage)
• Claims about items not listed or not proven to be owned by the policyholder
• Unintentional errors or missing information in your claim documents

It's important to read your policy documents carefully so you understand exactly what is—and isn't—covered. For more about tenant responsibilities after signing a lease, see What Tenants Need to Know After Signing the Rental Agreement.

Your Rights as a Tenant in New Brunswick

There is no law in New Brunswick that requires tenants to have insurance, but many landlords make it a condition in the rental agreement. Tenants are protected by the Residential Tenancies Act (New Brunswick), which governs rental housing in the province¹. This law sets out your rights and your landlord's obligations.

For an overview of tenant and landlord legal protections, see Tenant Rights and Landlord Rights in New Brunswick.

Steps to Take If Your Insurance Claim Is Denied

If your claim is denied, don’t panic. There are clear steps you can take to challenge the decision or seek additional help, including possible recourse through the provincial regulator.

• Request a detailed explanation: Ask your insurer for a written statement explaining exactly why your claim was denied.
• Review your policy documents: Read the specific sections relating to your loss or damage. Check if there are any exclusions or missed obligations.
• Gather your evidence: Organize receipts, photos, emails, and any communication relevant to your claim.
• Submit an internal appeal: Most insurers have a formal complaint or appeal process. Write a letter explaining your side and include supporting documents. Ask the insurance company to reconsider their decision.
• Contact the province’s insurance regulator: If you are not satisfied after the insurer's review, you can file a complaint with the New Brunswick Financial and Consumer Services Commission—Insurance Division².

Filing a Complaint with the New Brunswick Insurance Regulator

New Brunswick’s Financial and Consumer Services Commission (FCNB) handles insurance-related complaints. The FCNB provides guidance, but cannot force an insurer to pay a claim. They do, however, investigate unfair handling of claims or contract violations.

To submit a complaint, you will need to fill out the FCNB’s official Insurance Complaint Form (PDF). This form should be used if you believe:

• Your insurer has acted unfairly or not according to the contract
• You were treated with unreasonable delay or improper conduct

Practical Example: Contesting a Water Damage Claim Denial

Example: After a winter pipe burst, a tenant files a claim for damage to furniture and electronics. The insurer denies it, saying the tenant did not properly report the leak. The tenant:

• Requests the explanation and the relevant policy wording from the insurer
• Collects emails sent promptly to the property manager and insurer about the leak
• Sends an appeal letter and supporting documents to the insurer
• If the result is still unsatisfactory, completes the FCNB Insurance Complaint Form and submits it to the regulator

Can the Residential Tenancies Tribunal Help?

The Residential Tenancies Tribunal of New Brunswick³ does not deal with insurance claim disputes. Their role focuses on rental agreements, rent, deposits, eviction, and property maintenance. If your issue with insurance overlaps with a landlord-related responsibility (for example, unresolved damages or unsafe conditions), you can learn more in Obligations of Landlords and Tenants: Rights and Responsibilities Explained. For insurance disputes alone, stick to the process above.

What Evidence Will Help My Appeal?

Document everything:

• Keep written communication with your insurer and landlord
• Take photos/videos of damages
• Keep receipts for your belongings and repairs
• Log dates and times of incident reports
• Get written statements from witnesses, if available

Staying organized improves your position with both insurers and regulators.

Summary of the Insurance Dispute Process

Resolving a denied claim usually involves:

1. Getting the reason for denial from your insurer
2. Reviewing your policy and your evidence
3. Appealing to your insurer (using their internal process)
4. Filing a complaint with the FCNB, if needed
5. Considering further action, such as contacting the OmbudService for Life & Health Insurance (OLHI) or General Insurance OmbudService (GIO), depending on the policy type

For rentals and housing across Canada, Explore Houseme for nationwide rental listings.

FAQ: Tenant Insurance and Claim Denials in New Brunswick

1. Can my landlord require tenant insurance?
   Yes, in New Brunswick, landlords can require tenants to have insurance as part of the lease agreement, but there is no provincial law mandating it for all rentals.
2. What should I do immediately if my claim is denied?
   Ask your insurer for a detailed written reason for denial and gather all relevant documentation. Next, follow the insurer’s appeal process before contacting the provincial insurance regulator.
3. Can I appeal an insurer’s decision?
   Yes. You should first appeal directly to the insurer. If you are still unsatisfied, contact the Financial and Consumer Services Commission using the Insurance Complaint Form.
4. Will the Residential Tenancies Tribunal handle insurance complaints?
   No, insurance disputes must be handled through your insurer and the FCNB, not the tribunal.
5. Where can I learn more about my tenant rights in New Brunswick?
   See Tenant Rights and Landlord Rights in New Brunswick for a complete guide.

Key Takeaways for New Brunswick Tenants

• If your claim is denied, request a full written explanation and gather your evidence before appealing.
• Use the insurer’s internal complaint process first, then the Financial and Consumer Services Commission if needed.
• The Residential Tenancies Tribunal handles rental and landlord issues, not insurance disputes.

Be proactive and keep detailed records to protect your interests.

Need Help? Resources for Tenants

• Residential Tenancies Tribunal of New Brunswick – Rental law information, forms, and dispute help
• FCNB Insurance Division – File insurance complaints and get consumer guides
• Insurance Complaint Form (PDF) – Official form for insurer complaints
• Public Legal Education and Information Service of New Brunswick – Free legal resources for tenants

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1. Residential Tenancies Act (New Brunswick)
2. Financial and Consumer Services Commission – Insurance
3. Residential Tenancies Tribunal of New Brunswick

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