Discover the wide range of risks linked to wildfires and how those risks affect business planning.

Poor air quality caused by ongoing wildfires in Canada has drawn increased attention to Canadian wildfire season and the role climate change has on this evolving risk. Warmer, dryer weather leads to increased lightning storms, which account for 85% of wildfires in Canada. The burning of trees and other vegetation releases carbon monoxide into the atmosphere, fueling climate change and altering weather patterns.

This all serves as a stark reminder that this risk isn't going away. Wildfires play into the greater conversation about actionable, government-led climate change initiatives, which places onus on businesses to manage the part they play in contributing to environmental pollutants.

From a risk management standpoint, this article serves as a guide to understand the various risk components linked to wildfires, and considerations for future business planning.

  • A snapshot of government-led climate change action priorities for business planning purposes
  • Assessing and calculating your business operational risk if operating in wildfire prone areas including future affordability of insurance, self-insurance or potential re-location
  • Understanding environmental liability implications during a wildfire event and exploring this type of insurance coverage as a possible risk transference option
  • Considerations for creating a safe and productive workplace that thoughtfully weaves in wildfire risk considerations into employee management practices, policies and communication approaches



Gallagher provides insurance, risk management and consultation services for our clients in response to both known and unknown risk exposures. When providing analysis and recommendations regarding potential insurance coverage, potential claims and/or operational strategy, we do so from an insurance/risk management perspective, and offer broad information about risk mitigation, loss control strategy and potential claim exposures. We have prepared this commentary and other news alerts for general informational purposes only and the material is not intended to be, nor should it be interpreted as, legal or client-specific insurance, financial or risk management advice. General insurance descriptions contained herein do not include complete insurance policy definitions, terms and/or conditions, and should not be relied on for coverage interpretation. The information may not include current governmental or insurance developments, is provided without knowledge of the individual recipient's industry or specific business or coverage circumstances, and in no way reflects or promises to provide insurance coverage outcomes that only insurance carriers control.