Does Your Home Insurance Cover Water Damage?

Regardless of the cause of the water damage in your home, it can cost you a significant amount of money. Though there can be numerous reasons of water damage, pipe burst, severe weather, and floods are the common ones. It can also affect your home in the form of sneaky leaks such as drip outs and condensation.

According to some recent data, one in fifty insured homes file claims for water damage each year. If you leave water damage untreated, it may lead you to several other problems including foundation cracks and mold. This makes finding out if your homeowner’s insurance covers water damage or not extremely important.

Here is everything you should know about water damage claims (when it is covered and when it is not).

Does Your Home Insurance Policy Cover Water Damage?

It is worth mentioning that there are certain scenarios in which homeowner’s insurance policies cover and don’t cover water damage.

According to the CEO of Waffle Insurance, Quentin Coolen, the homeowner’s insurance policy covers for the water damage that is “accidental and sudden”. For instances, if the water supply hose of your water machine suddenly breaks and causes damage to your valuables, your insurance policy should cover it.

However, the caveat is an exception as in general, the homeowner’s insurance doesn’t cover any sort of water damage that poor maintenance causes. Also, any neglected problems that happened years ago and now causing significant issues may also go uncovered. Moreover, there are some policies that limit the water damage insurance amount to $10,000 for homeowners.

Instances That Home Insurance Typically Covers Water Damage

  • Accidental or sudden overflow from home appliances, like washing machines or toilets
  • Water damage due to snow or rain
  • Plumbing issues, like frozen pipes and busted pipes
  • Water damage resulting from extinguishing a fire
  • Roof leaks causing water damage in the home

Instances That Home Insurance Typically Doesn’t Cover Water Damage

  • Poor maintenance
  • Gradual leaks occurring over time
  • General or regular wear and tear
  • Water backups
  • Ground seepage
  • Flooding
  • Sewer pipe backup

How Much Does Your Insurance Cover?

When you file an insurance claim, your insurer examines the damage and gives you an amount for repairs, subtracting your deductible. However, it is not the same with water damage claims.

That is to say, your insurance company may cover you for the water damage but you may not get reimbursed for the appliance or pipe that caused the sudden leak.

It is worth mentioning that standard insurance doesn’t cover policy holder for flood damage unless he/she has a separate policy for flood insurance. You can purchase a flood insurance policy via our website.

Summing Up

All in all, your home insurance policy covers certain instances of water damage. The covered claims are accidental and sudden and that excludes gradual leaks and seepage. Thus, the article elaborates on the types of water damage a homeowner’s policy offers coverage for and which ones it excludes.

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