Perhaps you’ve recently had a destructive flood in your area, and the basement of your home is damaged. Maybe you’ve found signs of water damage in your walls and ceiling. Does insurance cover plumbing leaks? Many homeowners ask themselves whether or not their homeowners insurance will be able to pay for such damages. While most policies will be able to cover you, it is best practice to review your policy to see what they can do for you.
What Water Damage Is Covered Under Homeowners Insurance?
To determine what types of water damage your homeowners insurance covers, you should thoroughly check your policy. Does your homeowners insurance cover burst pipes or water damage from rain? If so, you can feel confident when filing a claim.
Your homeowners insurance may offer several different kinds of policies. Depending on your specific coverage, it may affect what water damage the insurance will pay for. Types of policies include:
- Dwelling coverage: The insurance company will pay for any damage to the structure if listed under their covered perils. For example, if a pipe suddenly bursts and your policy covers that issue, the insurance company will likely pay you for damages.
- Personal property coverage: The insurance company can pay you for any belongings damaged during the crisis. If a burst pipe ruined your electronics, books or furniture, you can ask the insurance company to fund the replacement or repairs. In many cases, a deductible or coverage limit will apply.
- ALE coverage: Additional Living Expenses (ALE) coverage can reimburse you for the money spent on living in a new space should you become displaced from your home. If you experience loss of use, you can request reimbursement for food, travel and hotel fees.
If you want to know what kind of water damage home insurance covers, read up on your policy. You may be eligible or ineligible for reimbursement should you experience a sudden flood, overflow or sewer backup.
What Plumbing Damages Does Homeowners Insurance Not Cover?
When determining what plumbing or water damages are not covered by your insurance policy, it might be best to wait for an insurance adjuster to visit the home first. Insurance adjusters will often look at the property to determine the cause of the damage and what might have been done to prevent it.
For example, adjusters can find the location of a leaky pipe or the source of water damage in your walls. Whether the leak is new or old or they find deterioration like rust or mold, they might tell you the damage was preventable.
In other cases, they might determine the damage was from a sudden accident or flooding issue, meaning you couldn’t have done anything to prevent it. It is best to wait for their opinion. The result can tell you whether or not the insurance company will deny your claim.
Here are a few specific areas where homeowners insurance will most likely not cover your water damage.
1. Damage From Preventable Maintenance Issues
Homeowners insurance will typically cover the cost of replacements or repairs if they know the issue was not preventable. However, if the leak or water damage results from a preventable issue, your insurance company may not cover it. As a homeowner, you must repair and maintain your faucets and plumbing fixtures. If the company finds out you could have fixed the issue beforehand, they will likely deny your claim.
2. The Source of the Water Damage
Many homeowners insurance companies will not cover repairs or replacement of the source of the water damage. While they may reimburse you for having to tear out your wall or replace some flooring, you will likely be responsible for fixing the damage to the burst pipes or replacing a broken appliance like a washing machine or dishwasher.
3. Backup From an Outside Sewer or Drain
Sometimes, your home may experience a backed-up sewer, sump pump or drain issue. Many homeowners insurance companies will not cover damage from a backed-up water system, even if the water has done extensive damage to the inside of your house. Some states may offer additional sewer and water backup coverage should you live in an area that often experiences flooding or heavy rainfall.
4. Types of Flooding
Most homeowners insurance policies do not cover flood damage, even from sudden storms, surging waters from lakes or oceans, or overflowing and over-saturated ground. If you are worried about flooding, you can purchase separate flood insurance through the National Flood Insurance Program.
Some companies may offer flood insurance as a part of your home policy if you live in an area with frequent rainfall. Be sure to check your policy thoroughly before finding a separate coverage option.
How to Maximize Your Water Damage Claim
If you want to maximize your water damage claim, there are a few steps you can take. From controlling the existing damage to keeping evidence to show your insurance company or adjuster, taking steps to get the best reimbursement can help you fix damages safely and quickly. Here are some ways to potentially maximize your claim.
1. Control the Damage
Taking control of the existing damage is a great first step to help maximize your claim. You’ll want to ensure you’ve taken every measure to limit the damage or control the issue. This might look like turning off the water to your home, unplugging electronics or keeping track of damaged items.
In other cases, the insurance company may want to see that you took steps to prevent damage before an accident or leak occurred. For example, if you know there will be a windstorm in your area, you can board up your windows. If you find a plumbing leak, turn off the water to your home right away. When your roof’s shingles become damaged, cover the top with a tarp to prevent rain from entering the house if it’s safe to do so.
A good rule of thumb is to call in professional plumbers, roofers or specialists to tell you what to do and when to start on repairs. You should also keep track of every damaged item instead of throwing them away. Store them in plastic bags or containers and use them as proof when you meet with an insurance adjuster.
2. Keep Track of Evidence
Taking photos and videos of the damaged home can help solidify your claim when you file with your insurance agency. Ensure your images are crisp and clear, carefully documenting each damaged item or area of the home. It is also helpful to take videos where you can describe what you see as you record. Paired together, videos and photographs provide evidence you can use when you file an insurance claim.
Making a comprehensive and detailed list of items damaged due to water and leakage is also good practice. Write each item in an online document or spreadsheet and list their estimated values and replacement costs. The insurance company can later use this information to calculate your reimbursement.
3. Report the Damage
Once you see any damage from water, flooding or leaks, report it right away. Contact a public adjuster for assistance. They will likely ask you for your policy number and other insurance information during the call, so have that and other relevant policy information on hand.
When reporting the damage, make sure you accurately and truthfully explain the details of the incident and the damage. If the insurance company finds out you failed to report something, they may deny your claim, or you could lose out on a larger reimbursement. If you need to fill out a proof of loss form, ask for a copy during the call. You can email the document or print it out and send a physical copy to your agent.
4. Determine What Type of Damage Happened
What kind of damage occurred during the incident? In many cases, homeowners insurance policies make distinctions between damage from nature-caused flooding and damage from appliance-caused water leakage. Flooding could impact multiple homes in the area, whereas a leaky HVAC system or broken pipes may only affect certain rooms in your home.
Reading the coverage in your policy is critical. While many homeowners insurance companies cover general water damage, they might not cover flood damage, meaning you’ll have to pay for repairs yourself or purchase other insurance.
5. Hire a Public Water Claim Adjuster
Hiring a public claims adjuster can help you maximize your insurance claim and receive the money you deserve. Public adjusters work for you, the client, rather than an insurance company. As a result, they can remain unbiased and focus on finding the truth and source of the incident. The adjuster can help you save money in the long run while advocating for you to the insurance company and ensuring you receive what you deserve.
6. Avoid Insurance Vendors
When you file a claim with your insurance company, they have limited time to prove that your claim is legitimate. If your claim is approved, the company will review how much money they owe you and when they’ll transfer the payment.
In many cases, the insurance company will try to convince you to use their vendors. Insurance vendors are a team of plumbers, restorationists or roofers who work alongside the insurance company. Unlike outside sources, these employees may remain biased toward the insurance agency and could charge you more for their work. It might be better to look at outsourcing your repairs and maintenance.
What to Do if Your Claim Was Denied
Having your claim denied can be a confusing process. However, you can do a few things if your claim is denied.
Asking the insurance company why they denied your claim is beneficial. They might offer insight into what you can do to prevent the occurrence next time. You can also ask what part of your current policy excludes you from receiving benefits for your incident. Information like this can help you decide to stay with your current insurance company or move on to one with a different policy that covers your needs.
How to Find and Prevent Leaks in Your Home
Finding and preventing leaks in your home can reduce the chance that you’ll have to make a claim. Here are a few ways to spot a new leak in your house:
- Sight: Look around your house and note any sagging spots in your ceiling or signs of discoloration and staining on the walls. If the areas grow larger over time, it will likely lead to further damage. Respond quickly and work to reduce the damage by calling a public adjuster.
- Sound: During the day, it might be hard to hear if there is a leak somewhere in your home. Try to pick a quiet time in the evening or late at night and turn off any fans or loud noises in the house. You could have a leak somewhere if you hear faint dripping or trickling noises.
- Smell: If your home smells musty, you likely have an outbreak of moisture or mold due to leaky pipes or a damaged roof. Check the floors, as well. Sometimes, water can leak through the foundation if there are noticeable cracks. Try running a dehumidifier to reduce moisture before calling a professional.
What to Do if You Have a Leak
If you find a leak in your home, take these steps:
- Elevate items: Put up any furniture, rugs or books to prevent items from getting wet.
- Open windows: Open your windows to air out the house if it’s safe to do so in the current weather conditions.
- Use a dehumidifier: Using a fan or dehumidifier can reduce the moisture in your home, but avoid using powered devices in standing water.
- Use a shop vacuum: A shop vacuum or sump pump can help eliminate water, but use these devices safely.
- Turn off electronics and appliances: If you find a leak near your electric wiring or devices, immediately turn them off if it’s safe to.
- Hang rugs and carpets: Hang damp rugs or carpets out to dry.
How to Prevent a Leak
Prevent water damage in your home by using a dehumidifier in rooms that contain moisture, such as basements or bathrooms. Keep track of how long it has been since you repaired your shower, tub, hose or faucets. Maintaining your plumbing and pipes can also prevent sudden bursting or cracking, especially in cold weather. Finally, keep your roof clean and repaired by checking the spouts and cleaning the gutters often.
Maximize Your Claim With Public Insurance Adjusters
At Performance Adjusting, we work with clients to handle the insurance claim process and communicate with their insurance companies. As a public insurance adjuster, we can assess the water damage to your home and negotiate a payment from the insurance agency. We want you to get the money you deserve. With assistance from our team of specialists, you can have peace of mind that we’ll handle the process for you.
Contact us today to speak to a representative, or call us at 401-724-9111.
