Did You Know? Different Kinds of Water Damage Need Different Insurance Coverage

House with a view of the ocean

Did you know that your homeowner’s insurance coverage only covers certain kinds of water damage? Depending on whether water damage is caused by flooding or a water leak, your coverage may not be sufficient. It’s important to know this information before finalizing any homeowner’s insurance policy.


You want to have the peace of mind that you’ll be covered in only clearly catastrophic events. It’s important to also understand if and how you’ll be covered in the event that a slow drip somewhere that you didn’t know about causes substantial damage.  You’ll need coverage to be able to afford to fix these sort of issues.


What Exactly is Covered?


When figuring out your premiums and policy details, your insurance agent should go over the different circumstances that are covered by your policy. Even if slow leaks are covered, when you put in a claim, the payout may be less than you expect. Also, damage to your house may be covered, but not related damage to your furnishings or belongings. You want to ask questions about these specifics before finalizing your policy. A few extra dollars now could save you many thousands down the road in case of a problem.


Will I Be Covered at All?


This is a question that many homeowners ask themselves when it comes to water damage. Typically, homeowners insurance only covers damage from sudden, accidental events. This could include your washer having a sudden leak, perhaps from a faulty or loose hose.


What homeowners insurance doesn’t cover is actually fixing the source of the leak, only damages caused by it. This also means any damage caused by “unresolved maintenance issues” even if you had no knowledge of them beforehand. One instance could be a small leak in your roof that has come to cause significant damage that now needs to be repaired.


Another important thing to remember is that homeowners insurance doesn’t cover any damage from flooding. This is why having flood insurance is important. Also, there is additional home policy coverage you can buy to cover some water damage; Water Backup and Overflow Coverage.

At the end of the day, the peace of mind from purchasing one or more additional coverages for your home might be worth it. Water damage is a terrible thing to deal with, so anything that can make the burden of it  easier to deal with can often be worth it.