The name Masset was a gift from the captain of a Spanish vessel that was repaired with the assistance of the Haida citizens of Atewaas, Kayung and Jaaguhl. These three villages accepted the gift and adopted the name Masset to commemorate what might be the first ever contact between Europeans and the Haida. During the early years of Canadian colonization the name Masset and the post office were adopted by the former Reverend Charles Harrison as part of his scheme to sell land. The name Masset is currently in use by the Village of Masset, a municipality under Canada legislation and the Village of Old Massett, the original recipient of the name and a village under the Constitution of the Haida Nation. According to John T. Walbran, Masset came from the Haida word Masst, or large island. Captain Douglas, on his second visit from Nootka Sound aboard the Iphigenia on June 19, 1789, named the bay leading to the inlet McIntyre's Bay. This name was used on the charts of Dixon and Meares. The American traders called the inlet, Hancock's River as shown in Ingraham's chart of 1792 after the American brig Hancock. In 1853 H.N. Knox of the Royal Navy, mate on, did a sketch survey of the harbour when the name Masset was adopted by the British. A survey was made in 1907 by Captain Learmouth on HMS Egeria. Masset's name in the local dialect of the Haida language is Uttewas, "white slope", probably referring to a small hill south of the village.
The climate, moderated by a warm Pacific current from Japan, is generally mild with no extremes in temperature, oceanic. Annual temperature varies only 20 degrees Celsius but is variable and unpredictable - even within a 24-hour period. Average rainfall is with snowfall of and there is generally a breeze, most often out of the southeast when it is raining, and the northwest when it is sunny. Summer temperatures are in the range and the days are long - May, June, July boasting 18 hours of daylight. August and May general have the most sun but there is a fair degree of rain throughout the summer months. Winter months are mild with temperatures in the range and while precipitation is usually in the form of rain there can be some snowfall. Conditions can become severe without warning and Masset has registered wind gusts to. Although it is located at over 54 degrees north, rainfall follows a Mediterranean pattern. It is one of the northernmost places with this characteristic.