Recently, the announcement of Bill 60 has attracted attention for once again leading the Ontario housing market towards a crossroads. Bill 60, or the Fighting Delays, Building Faster Act, 2025, is a bill designed to overhaul specific provisions of the 2006 Residential Tenancies Act.
While framed as a way to cut red tape and encourage rental supply, the bill carries wide-reaching implications for both landlords and tenants. However, this bill can shift not only lease management and rent control, but also risk distributed across the province’s previously strained rental market. Here is a breakdown of Bill 60, outlining the changes and their potential implications for your insurance coverage.
What is the Current Status of Bill 60?
As of November 24th, 2025, Bill 60 has been passed.
What Are the Changes?
Here is a list of changes as of November 2025. These include several key updates to the rules governing home rentals across the province.
Lease and Renewal Changes
To begin, when a fixed-term lease (e.g., six months or one year) is in place, it may no longer automatically convert to a month-to-month rental agreement upon its expiration. Instead, landlords will have more choice to renew or end the lease on new terms.
Faster Eviction Timelines
Due to scheduling changes, tenants may have fewer days to respond to their landlord’s notices. Notices, such as those for unpaid rent or eviction, may require quicker action before the landlord can apply to the Landlord and Tenant Board (LTB).
What is Rent Control?
Rent control is a government policy that limits how much landlords can raise rents on residential properties. Its main goal is to protect tenants from sharp rent hikes and help keep housing affordable, especially in areas with high demand and low vacancy rates. Rent control rules are part of the Residential Tenancies Act (RTA), which limits rent increases to once every 12 months and requires landlords to follow the annual rent increase guideline set by the Ontario government. The 2025 rent increase guideline in Ontario is 2.5%, the maximum amount most landlords can raise rent without special approval; it will change to 2.1% in 2026.
What Would the Impact of Bill 60 Be On Landlords?
To start, for landlords, the framework offers new management flexibility, particularly for those who wish to align lease terms with market conditions/personal business plans. As mentioned before, faster resolution and eviction processes can reduce costs and improve cash flow predictability. However, with that flexibility comes various risks:
Higher Tenant Turnover
These changes may cause more frequent vacancies in the units. Moreover, this leaves your property more vulnerable to theft, water damage, or vandalism. This turnover would also significantly impact your landlord insurance coverage, as risks like these are often limited or excluded under a standard property insurance policy.
Deferrals for Maintenance
Maintenance delays may become more common if landlords prioritize turnover over property upkeep. This focus on turnover may lead to liability and property damage risks.
Reputational Impact
Increased scrutiny from regulators and the public could heighten reputational and compliance risks, particularly if eviction rates start to rise.
Prepare for Coverage Gaps
Ensure your liability coverage, legal expense protection, and vacancy endorsements are in place to adequately protect you between tenants. Typically, landlord insurance policies include vacancy clauses that can limit or suspend coverage after 30 days of vacancy.
Expedited Eviction/Dispute Process
Due to the accelerated eviction and dispute processes, there may be an increased likelihood of conflicts between landlords and their tenants. Therefore, this may result in legal costs and liability claims related to any alleged property damage or wrongful eviction. Landlords should get legal expense coverage and landlord liability insurance to help mitigate these risks and provide protection.
Frequent Turnover = Higher Risk
Insurers may begin to view properties with frequent turnover as higher risk. Therefore, this could result in stricter policy requirements, like proof of tenant insurance or regular property inspections. With this in mind, it would be wise for landlords to require their tenants to carry renters’ insurance. Maintaining detailed maintenance records can help landlords demonstrate effective risk management and secure stable premiums.
What is the Impact of Bill 60 on Tenants?
Next, for tenants, the most immediate concern with rent control is the security and stability of their tenancy. As mentioned earlier, under current law, most leases automatically convert to a month-to-month arrangement upon expiration of the initial rental period. Previously, this would have provided tenants with more stability, enabling them to remain in their homes under the same terms. However, Bill 60 may change those terms. Here are a few other risks that tenants can face as a result of this bill:
Less Stability
Landlords will have the option not to renew or renegotiate a lease more freely. Tenants may find themselves moving more often or facing higher rent prices, particularly in buildings not covered by rent control.
Financial Strain
Shorter response times for eviction notices also heighten the risk for tenants who are facing temporary financial strain. This strain may increase the likelihood of experiencing a faster loss of housing.
What Does This Mean for a Tenant’s Insurance Coverage?
Coverage Gaps
From an insurance standpoint, tenants should be more cautious about coverage gaps that can occur when changing addresses and the potential for content losses during moves. You can help curb this by maintaining continuous tenant insurance throughout the move to avoid coverage gaps.
Faster Eviction Timelines
With faster eviction timelines, tenants may have less time to respond to rent or dispute issues before being evicted. However, in these situations, Additional Living Expense (ALE) coverage, which is typically included in a tenant insurance policy, can help cover extra costs, such as temporary housing.
Maintenance/Property Condition
If tenants feel less secure in their housing or move more frequently, issues such as electrical problems or leaks may go unchecked for extended periods. Therefore, having personal liability coverage on your renter’s policy protects you if any accidental damage is caused to the unit/building.
Overall, Bill 60 makes it more crucial than ever for tenants to maintain active, comprehensive insurance coverage. Having proper protection for your belongings is crucial, but within your financial ability to bounce back if your living situation suddenly changes.
Bill 60: Conclusion
As Ontario’s housing system adapts with new rent-control updates, both renters and landlords can stay secure by understanding their coverage and treating their insurance as not just a formality but a vital part of their housing strategy. If you are a tenant or landlord with questions about your coverage, please contact us today.
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