Read the Fine Print: Water Damage And Your Insurance
When purchasing a house, homeowners’ insurance is bought as well because it is good to know that all of your belongings are covered if anything happens. However, there are limitations and restrictions when it comes to basement flooding. It is important to know what these are because you might need to get out flood insurance depending on the area you live in. Otherwise, homeowners’ insurance might be enough.
This article is going to talk about basement flooding and when it is not covered by your homeowner’s insurance.
When Is It Covered?
Now, there is a misconception that your homeowner’s insurance does not cover any basement flooding, but that is not true. The standard homeowner’s insurance usually covers accidental and sudden damage, so if the flood has been brought on by an accident, then it might be covered. One example of this is if your pipes burst due to them being frozen. Insurance companies tend to cover this damage, but it also depends on a few factors; what temperature did you keep your home at, were you living in the house when this happened, and that you have kept up with the basic maintenance of the house.
Another example is if one of your appliances has broken and there is a sudden flood. If your washing machine breaks accidentally, then your home insurance should cover it. However, if you have not been taking care of this appliance then it is unlikely the insurance company is going to reimburse you.
Overall, it is important to note that these kinds of floods all happen to be Category 1 and Category 2 water damage according to the Institute of Inspection, Cleaning and Restoration Certification (IICRC). That means that the water damage is not as highly contaminated with pollutions and toxins, so your belongings could be salvaged.
When Is It Not Covered?
Homeowners insurance does not cover every kind of flood that can possibly happen in your basement. Obviously, there are some exceptions. One of them being storm surges and an abundance of rain. If your basement becomes flooded due to heavy rain, storming, or a natural disaster, then it is not covered by your standard homeowner’s insurance. The reason is, this water has not come from your piping system, so it is not under the policy’s domain.
Also, if you have a sewage backup in your basement then that is also not covered by your homeowner’s insurance. This is not in the policy’s domain because it is outside of your housing unit. Lastly, if there is any underground seepage then that is not covered. Groundwater gathers near your home and can eventually seep underneath your house’s foundation. After the water makes its way underneath your foundation – it can infiltrate your basement.
The reason why examples like these are not covered is because they are deemed at Category 3 by the IICRC. That means the water is dangerous because it is polluted and is extremely harmful to people. When there is more risk involved, then there is more at stake for the individual that needs to clean it up.
Conclusion
Before you start calling up your insurance company and demanding for them to help you, read the fine print on your policy and double check what is covered and what is not covered. Then proceed with caution because even if you think it may be covered, it might not be and that all depends on how the water got there and what category it is deemed.
Overall, take into account where you are and decide if you need additional flood insurance on top of your homeowner’s insurance because you never know what might happen.