Homeowners insurance is a type of property insurance that covers losses or damages to your residence. The coverage includes everything on the property’s interior and exterior. It also covers theft of belongings, personal liabilities, and extra living expenses.
From all these, you can see that homeowners insurance covers a range of mishaps. However, homeowners often want to know if their policy offers protection for water damage. They also would like to know if their insurance will protect them in situations like heavy storms or flooding.
Homeowner’s insurance covers some cases or types of water damage. Sometimes, homeowners find it arduous to know the ones their policy can cover. That is why they ask questions to understand what happens if a burst pipe causes flooding to any part of their property.
As Blue Door Realty warns, some policyholders tend to assume the extent of their policy’s coverage, only to discover the error after submitting a claim and the insurance company denies it. This article is for you if you have concerns about homeowners insurance and water damage.
Does homeowners insurance cover water damage?
The simple answer to this question is, “it depends.”
A standard homeowners insurance excludes water damage due to flooding. You will need flood insurance if you reside in a flood-prone area. However, your homeowners’ insurance will cover water damages due to accidental burst pipes.
It is essential to note that burst pipes from poor maintenance or negligence may not benefit from the protection of homeowners insurance. If you had prior knowledge that your water appliances were faulty, and you ignored or failed to fix them, your claims will not get approved. This is because water damages from all preventable causes do not enjoy protection from homeowners insurance.
How homeowners insurance handles water damages
When you file a claim for water damage, your insurance company will assess it using three specific criteria. To benefit from the coverage, it must meet the following conditions:
- The water should not touch the ground outside your home before entering the house. Here, it excludes water that flows into your home from outside. Although the policy may cover water damage from a rainstorm, most standard homeowners insurance only covers water damage with causes from inside the house.
- The water must be released suddenly. In this case, homeowners insurance does not cover water damage resulting from gradual, slow leakages over a period of time. That is because such destruction is preventable. However, it will cover water damage from a burst pipe.
- The water damage must be an accidental cause. If you use your water-bearing devices properly, homeowners insurance will provide coverage during water damages. But if water damage occurs due to negligence or carelessness, there will be no approval for the claims.
The types of water damage that your standard homeowners insurance will cover
The homeowners insurance offers coverage for 16 named perils. Those that involve water damage include:
1. Overflow from appliances
Your homeowners insurance will only cover water damages due to water overflow from water-bearing devices if they happen suddenly and accidentally. That excludes damages that arise from conscious acts or negligence. If your water-bearing appliance leaks, and you ignore repairs, your homeowners’ insurance will not cover it.
2. Leaking pipes
Your homeowners’ policy will provide coverage for sudden and accidental burst pipes. However, such leaks should not be due to improper maintenance.
3. Rain
Yes, the standard homeowners’ insurance covers water damages from a rainstorm. However, it will not cover floods. It will provide coverage for situations where a rainstorm breaks the windows, allowing the rainwater to enter your interior space. That is an exception to this coverage.
If you keep your windows open and a rainstorm damages your properties, you will not benefit from the coverage. Your insurance company will see such acts as negligence.
4. Water damage from extinguishing a fire
If there is a fire and firefighters use water to extinguish the fire, there may be water damage to your home. Your homeowners’ insurance will cover the resulting water damage. However, you may fail to benefit from the coverage if the fire was due to your negligence. That means the fire should be from an accidental cause.
Below are water damages that your homeowners’ insurance will not cover:
- Sewer or drainpipe backups
- Ground seepage
- Flooding
- Gradual release of water over time
- Neglected maintenance issues
Bottom line: Does Homeowners Insurance Cover Water Damage?
Water damage is an incident that every homeowner dreads. If you have water damage on your property, take urgent steps to prevent additional destruction before filing a claim. Shut off the water supply if it was from a burst pipe. In addition, always contact your insurance carrier to file a claim. That is because the process varies depending on the insurer. Look through your policy to be sure what it covers, or contact your A and H Insurance account manager to make sure you’re properly covered or if a flood insurance policy would make sense for your home.
