Through its website and daily newsletters, The Peak (a ZoomerMedia property) offers Canadians the news they need to understand business, tech, and other must-know stories.
In this dispatch, The Peak examines the burgeoning healthcare worker bidding war, the future of Canadian rocket launches and why you should double check your home insurance for flood coverage.
Bidding War for Healthcare Workers Heats Up
The worker shortage in Canada’s healthcare system has gotten so dire that rural towns are now shelling out NHL draft-level signing bonuses to try and bring in doctors.
Driving the news: Ontario’s Huntsville (population: 21,147) is offering family physicians an $80,000 signing bonus to come work in the community for at least five years, per the CBC.
- Huntsville, like many places across Canada, has a rapidly growing waitlist for family doctors, leaving about a third of residents at risk of not having access to a physician.
Catch-up: Since the pandemic, a “Hunger Games-style” battle for healthcare workers has erupted in more remote parts of the country. Incentives on offer include cash bonuses, student loan forgiveness, free waterfront housing, and even credit at local restaurants.
- Similar programs in rural Saskatchewan, Newfoundland and Labrador, and B.C. offer bonus packages as high as $200,000 to doctors willing to relocate.
Why it matters: Healthcare experts argue that the bidding war puts poorer communities at a disadvantage. Not only are they unable to attract more healthcare workers, but they now face the prospect of losing their own doctors to towns that can offer six-figure bonuses.
Zoom out: The family doctor shortage has already led to fewer Canadians getting early diagnoses for serious conditions. That’s created a domino effect on the healthcare system, flooding already-strained hospitals with more patients in need of urgent care. — Lucas Arender
Canada Could Soon See More Rocket Launches
Canada’s commercial space launch industry is ready for lift-off (pun very much intended).
What happened: Canada and the U.S. completed negotiations on a deal that would allow American organizations to carry out commercial space launches in Canada. Once the deal is officially signed, it will open up a huge new clientele base for Canadian launch operators.
- In 2022, the U.S. was the country that carried out the most commercial space launches, with startups shooting their rockets and satellites into the sky.
Big picture: Canada has its eyes on being a space launch hub. Last year, the feds began a two-part strategy to promote more space launch activity — reviewing requests from firms to carry out launches under existing laws and devising a new framework to license launches.
- It’s still early days, however, as Canada does not yet have a commercial spaceport. Nova Scotia-based Maritime Launch Services is constructing the nation’s first in Canso, N.S.
Why it matters: The space biz is projected to be worth as much as US$1.8 trillion by 2035, per a recent McKinsey report. With aerospace talent and an ideal geography for launches (lots of wide open spaces) Canada is well-positioned to take a chunk of that. — Quinn Henderson
Your Home Insurance May Not Cover Flood Damage
Flooding is one of the biggest causes of property damage in Canada, but your home insurance probably doesn’t cover it. Standard home insurance typically covers damages caused by things like wind, hail, wildfires, and lightning, but it usually only covers water damage from inside your home, like burst pipes or leaking appliances. As flooding becomes more common, though, more insurance companies are offering a popular add-on called overland flood insurance. In June 2024, half of all home insurance quotes included extra water damage coverage, a 68% jump from the year before. Overland water insurance generally costs between $10 and $30 a month, depending on your area’s flood risk. However, if you live in a high-risk zone, you might not be able to get this coverage at all. Right now, insurance companies don’t cover flooding for up to 10% of homes in Canada. If you’re in a high-risk flood zone, it’s a smart move to review your home insurance policy to see what’s covered and compare options to find the best deal. If you’re looking to lower your monthly premium, consider raising your deductible (the amount you pay out of pocket before insurance kicks in). Just make sure you have a solid emergency fund to cover that higher deductible if you need to. — Meera Raman
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