Is it necessary to insure an animal against liability to third parties?

In Calgary, pet liability insurance is regulated by a set of laws, starting with the municipal Calgary Responsible Pet Ownership Bylaw and ending with the provincial Alberta Dangerous Dogs Act. Although liability insurance is not generally required for ordinary pets, there are specific situations where it becomes a legal requirement, particularly for:

  • dogs deemed dangerous;
  • owners of restricted breeds.

Calgary Responsible Pet Ownership Bylaw

This municipal bylaw establishes strict penalties for violations, including:

  • fines of up to $10,000 for owners of dogs involved in attacks.

It is important to understand that the absence of a mandatory insurance requirement does not mean no financial responsibility. Owners remain legally responsible for all actions of their animals regardless of insurance coverage.

Alberta Dangerous Dogs Act

The Alberta Dangerous Dogs Act gives courts the authority to determine that a dog is dangerous if:

  • it has bitten or attempted to bite a person;
  • or is dangerous and not kept under proper control.

Requirements if a dog is deemed dangerous:

  • The owner must have liability insurance with a minimum coverage of $1,000,000 to cover injuries caused by the dog.

A recent case in the Alberta Court of Justice demonstrated the severity of these requirements:

  • The court ordered the owner to obtain insurance for $1,000,000.
  • The owner must retain ownership of the dog for the entire life of the animal.

Dog attack statistics in Calgary

Statistics for Calgary demonstrate a growing problem of dog attacks, highlighting the importance of insurance coverage.

Calgary data:

  • 2,723 confirmed cases of dog bites and chases (2012–2017);
  • 14% of cases were classified as serious;
  • 3% of dogs involved in attacks were euthanized.

Growing trend:

  • 58 attacks in 2009;
  • 201 attacks in 2012. This is almost a fourfold increase in three years.

Provincial and national statistics

Data for Alberta:

  • 21,821 visits to emergency rooms (2010–2015);
  • most visits were among children under 2 years of age.

Data for Canada:

  • Approximately 500,000 dog bites each year;
  • Most victims are children under the age of 10.

Financial consequences for dog owners

The financial consequences can be catastrophic for owners who do not have insurance:

  • Preszler Law Alberta reports:

  • Owners of dogs involved in attacks can be fined up to $10,000 by the City of Calgary.

  • Dogs may be euthanized under the Alberta Dangerous Dogs Act.

  • Civil lawsuits can result in even higher financial obligations: A recent Quebec case showed an example of $460,000 in compensation.

Types of insurance coverage and availability in Calgary

Homeowner's and Tenant Insurance as a basis for coverage

Most Canadian pet owners already have basic liability coverage through their homeowner's, condo, or tenant insurance policies. TD Insurance confirms that if you have a home, condo, or tenant insurance policy, you will have built-in personal liability coverage that may cover incidents involving your pet.

This coverage extends to your dog whether you are at home or traveling.

Orbit Insurance Services explains that these policies typically include third-party liability coverage, which protects you if:

  • you are legally responsible for injury or damage to someone else's property;
  • In the event of a bite or damage, the company will cover the cost of medical treatment or damages.

Standard coverage in Alberta is typically $1–2 million and is included in the basic homeowner's or tenant insurance premium.

Personal Umbrella Insurance for additional protection

For homeowners who need additional coverage beyond the standard limits of homeowner's insurance, Personal Umbrella Insurance is available.

TD Insurance offers such a policy, which:

  • extends existing coverage;
  • provides additional protection against large financial losses;
  • covers $1 to 5+ million;
  • costs approximately $200–800 per year.

Think Insure emphasizes that most policies include a minimum of $100,000 in coverage, but high-risk dog owners often choose higher limits. This is important because legal fees, medical expenses, and compensation costs can quickly reach hundreds of thousands of dollars.

Factors affecting the availability and cost of insurance

Breed restrictions and history of aggression

One of the biggest challenges is breed restrictions imposed by insurance companies. Many insurers:

  • refuse coverage or
  • raise premiums for certain breeds, regardless of the behavior of the individual dog.

Typical restricted breeds:

  • pit bulls,
  • rottweilers,
  • dobermans,
  • German shepherds,
  • other high-risk breeds.

Compare the Market notes:

  • most policies do not cover dogs with a history of aggression;
  • concealing facts may void the policy.

Factors affecting rates:

  • breed, size, and weight of the dog;
  • previous insurance claims;
  • place of residence;
  • number of pets;
  • professional training;
  • age of the animal.

Restricted breeds may result in:

  • rate increases of 25–100%;
  • or complete denial of coverage.

Geographic and socioeconomic factors

Where you live in Calgary also affects insurance costs:

  • Urban vs rural locations — different risks and premiums;
  • Neighborhood crime rates — areas with high crime rates have higher rates;
  • Local bylaws — regulatory features can increase the price by 10–30%.

Professional training can reduce the premium by 5–10%. This creates an additional incentive to invest in socialization and dog training.

Professional services and commercial requirements

Mandatory insurance for professional services

There are clear requirements in Calgary for individuals providing professional services in the pet industry.

PROfur (insurance for pet professionals) emphasizes the importance of:

  • bonding (insurance against theft);
  • liability coverage (liability insurance);
  • compliance with safety protocols.

Requirements for pet sitters:

  • minimum age of 18;
  • no convictions for fraud or theft;
  • compliance with safety standards.

Professional pet service insurance

  • General Liability — minimum $2,000,000;
  • Bonding — approximately $50,000;
  • Dog walking — professional liability;
  • Dog daycare / boarding — commercial general liability + property insurance.

Annual cost:

  • from $300 (basic dog walking);
  • up to $5,000+ (large boarding facility).

Commercial operations and multiple pet scenarios

Pet businesses face the most stringent requirements in Calgary:

  • Dog daycare and boarding facilities:
  • commercial general liability — $2–5+ million;
  • property insurance — to protect premises and equipment.
  • Veterinary services:
  • professional liability + malpractice insurance — $1–15+ million.

Households with multiple pets:

  • Discounts of 5–15% may be available;
  • or premium increases due to increased risks.

Recommendations and best practices

Basic recommendations for dog owners

For typical dog ownership in Calgary, experts recommend:

  • homeowner's or tenant insurance with coverage starting at $1,000,000;
  • additional coverage costs $50–200/year;
  • potential liability may exceed $100,000.

Recommendations:

  • training & socialization;
  • licensing;
  • compliance with municipal bylaws;
  • keeping medical records and documenting incidents.

Special recommendations for high-risk cases

For high-risk breeds:

  • increase coverage to $2+ million;
  • consider an umbrella policy;
  • professional training is mandatory;
  • use a muzzle in public places;
  • install secure fencing on the premises.

For pet service providers:

  • mandatory bonding;
  • comprehensive contracts;
  • safety protocols;
  • adequate insurance coverage.

Cost of business insurance: From $1,000 to $5,000 per year → can save your business from bankruptcy.

Conclusion

Pet liability insurance in Calgary is a balance between:

  • legal requirements,
  • financial risks,
  • practical considerations.

Although mandatory insurance is not required for most owners, rising dog attack statistics and potential financial consequences make insurance coverage critically important.

For:

  • owners of high-risk breeds,
  • professional services,
  • commercial businesses

insurance is no longer a recommendation, but a necessity.

Key to success:

  • understanding risks,
  • researching available options,
  • ensuring adequate protection.

The cost of comprehensive insurance coverage is insignificant compared to the potential financial, legal, and personal losses following a serious incident.