Tenant Insurance in Ontario

Tenant insurance is not legally mandatory in Ontario under the Residential Tenancies Act, 2006. The law itself does not require every tenant to carry a policy.

Even though the RTA does not mandate it, many individual landlords require tenant insurance as a condition written into the lease. This is legal for a landlord to require as a lease term -- it is simply not a province-wide legal mandate the way, for example, the last month's rent deposit rule is. Because of this, always check your own lease: if it includes an insurance requirement, you are bound by that term of your specific agreement, even though Ontario law in general does not force every tenant to have it.

Even where not required, tenant insurance covers your personal belongings against theft, fire, or water damage, and typically provides liability coverage if you accidentally cause damage to the building or injure someone. Given that Ontario has no separate damage deposit system, having your own insurance can be a practical way to protect yourself financially, independent of whether your specific lease requires it.