What types of water damage are covered by insurance?

7/9/2021 (Permalink)

What types of water damage are covered by insurance?

What types of water damage are covered by insurance? 

Water damage is a common problem in homes, and it can be caused by a variety of issues. However, there are only a handful of water damage scenarios that will be fully covered by your homeowner's insurance. These types of water damage include:

• Sudden or accidental water discharge
• Storm-related water damage
• Accidental sewer backup or overflow (you may need an endorsement)
• Flood damage (if you have flood insurance)

Homeowner's insurance will only cover water leaks and water damage if the cause is sudden or accidental. For example, if a pipe bursts out of nowhere, the damage will likely be covered by your insurance policy. Gradual water damage, which occurs slowly and over time, is not covered by homeowners insurance.

Additionally, some homeowners insurance policies will cover resulting damages from water leaks. Resulting damages occur because of the initial damage. For instance, if a pipe bursts and the water damage destroys a nearby wall, you might be able to get reimbursed for the cost of repairing the wall.

However, not every homeowner's insurance policy covers resulting damage, so check your policy’s wording to see exactly what is included. If the resulting damage is covered, keep in mind that it will not extend coverage to sources of the water leak. So if a pipe burst and caused resulting damage, the cost of a replacement pipe wouldn’t necessarily be covered.

Always check with your insurance carrier with any coverage questions or concerns.