You never know when an accident or unexpected incident could affect your business’s finances and reputation, but that’s why it’s wise to have business insurance.

After all, when things go sideways and result in hundreds or thousands of dollars in damages or losses, a comprehensive business insurance policy can help pay for repairs or cover your legal fees in a dispute or lawsuit.

There is the possibility of a business insurance claim being denied for various reasons, but without insurance, you have no options but to pay out-of-pocket when an incident arises – and there are countless examples of different types of claims where having insurance made a significant difference.

However, there are also times when unusual things happen to a business owner or independent professional. The good news is that insurance also covers out-of-the-ordinary incidents that befall a business owner.

Unusual business insurance claims

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Here are seven real-life insurance claims we resolved that stood out for being a tad strange, uncommon, or curious:

1. Third-Party Property Damage Claim

Client’s industry: Contractor

Incident: Squirrels (that’s right, squirrels!)

Relevant insurance coverage: General liability insurance

One of our contractor clients was in the middle of a routine roof repair when he stumbled upon some unexpected tenants – an entire family of squirrels nesting in the attic!

One made a break for it as he tried to gently evict the furry squatters. Instinct kicked in, and he lunged to catch the runaway rodent. But in the heat of the moment, he forgot the golden rule of attic safety: always step on the studs or trusses. One wrong step later, his foot went straight through the customer’s ceiling.

Squirrels are fast, ceilings are fragile, and accidents happen.

The good news is our client’s general liability insurance covered over $4,000 in repairs to the home.

2. Third-Party Property Damage

Client’s industry: Contractor

Incident: Exploding insulation canister

Relevant insurance coverage: General liability insurance

Another of our contractor clients had an uncanny experience while setting up to install new windows in a home. You could say he had a blast – but not the kind he wanted.

While prepping to install the new windows, he had a can of foam sealant sitting nearby. Out of nowhere – kaboom! – the can exploded like a mini fireworks show, spraying sticky foam everywhere. 

The house’s exterior got an unexpected makeover, and worse, the gooey mess even found its way into the homeowner’s backyard pool. It was a sticky situation, and removing the sealant was no easy task. It shows that, sometimes, the biggest surprises on the job aren’t in the blueprints.

Thankfully, his insurance covered over $6,000 in repairs to the customer’s home and pool.

3. Property Damage Due to Extreme Weather

Client’s industry: Food and drink

Incident: Severe damage to a restaurant

Relevant insurance coverage: Commercial property insurance

Running a seasonal restaurant means shutting down for the winter – but Mother Nature didn’t get the memo in this case.

While our client’s summer eatery was hibernating, a brutal winter storm rolled in with hurricane-force winds. The result? The entire roof was ripped right off the building! 

And as if that wasn’t bad enough, the exposed interior turned into an ice palace – freezing and bursting every water pipe inside. The aftermath? A soggy, shattered mess with ruined floors, furniture, lighting, and kitchen equipment.

Their commercial property insurance covered over $45,000 in repairs to the building and to replace their contents.

4. Fire and Water Property Damage

Client’s industry: Food and drink

Incident: Internal water damage

Relevant insurance coverage: Commercial property insurance

Running a bakery means dealing with plenty of heat – but not like this!

One night, our client, a bakery owner, left some documents sitting on top of a fridge and headed home, not thinking twice. But somehow, those papers caught fire overnight.

While the flames didn’t spread, the smoke triggered the building’s fire sprinklers, unleashing a downpour that soaked everything in sight. Flour, sugar, equipment – drenched. Fires are bad, but surprise indoor rainstorms can be just as costly.

Luckily, their commercial property insurance covered over $11,000 in repairs, mainly from the water damage (that’s a lot of dough!).

5. Destroyed Equipment

Client’s industry: Photography

Incident: Expensive camera destroyed by a laser

Relevant insurance coverage: Equipment insurance

One of our photographer clients was capturing a beautiful wedding when the venue suddenly turned into a full-blown Star Wars battle.

An unexpected laser light show lit up the room, creating a stunning visual – until those powerful beams fried his expensive cameras. Talk about a flash he wasn’t expecting!

Fortunately, this photographer had an eye for more than great shots; he had equipment insurance.

His photography insurance policy covered over $6,000 to replace his gear.

6. Lost Tools and Equipment

Client’s industry: Contractor

Incident: Tools lost due to a tornado

Relevant insurance coverage: Tools and equipment insurance

This one will blow you away – literally!

One of our contractor clients was on his way to a job site when, out of the blue, a tornado roared through the area. As the whirlwind tore past, it didn’t just shake his truck; it launched his tools and equipment straight out of the pickup bed like a hardware store explosion.

He managed to track down a few scattered tools, but most? Gone with the wind.

Luckily, his tools and equipment insurance covered over $7,000 to replace everything he lost.

7. Damaged Business Contents

Client’s industry: Optometry

Incident: Accidental damage to equipment 

Relevant insurance coverage: Business contents insurance

One of our optician clients was in the middle of an eye exam when disaster struck in the blink of an eye.

A passing customer stumbled and instinctively reached for support. Unfortunately, the “support” they grabbed was a bench stacked with delicate optometry equipment. Thousands of dollars worth of specialized gear tumbled to the floor in a split second, shattering on impact.

Thankfully, their business contents insurance had 2020 vision and covered nearly $15,000 in repairs.

Get the Low-Cost Business Insurance You Need Now

Whether unusual damage and loss claims like these or more common insurance claims, insurance is vital for every business owner and independent professional.

More than 350,000 Canadian small business owners trust Zensurance to help them get the business insurance they need – we can also help protect your business and finances.

Fill out our online application now for a free quote.

Our knowledgeable, friendly team of brokers will shop our partner network of over 50 insurers to get the low-cost coverage you need, customize it to suit your requirements, and ensure you’re covered when events beyond your control occur.

– Reviewed by Reagan Elly, Senior Claims Advisor, and Aharshan Thangarasa, Senior Broker and Team Lead, Digital Solutions Team, Zensurance.  

Recent Posts

  • Unusual business insurance claims

7 Unusual Business Insurance Claims

By |March 21st, 2025|

Running a business comes with its fair share of surprises – some stranger than others. The good news? Insurance covers incidents and accidents even when the unexpected really gets weird. Check out these seven unusual claims we’ve covered.

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About the Author: Liam Lahey

Liam is the Content Marketing Manager at Zensurance. A writer and editor for more than 20 years, he has been published in several newspapers and magazines, including Yahoo! Canada Finance, Metroland Media, IT World Canada and others.