Be Prepared for Property Damage: What Is Covered in a Claim?

The country can experience a lot of flooding due to heavy rainfalls, storms, or other natural disasters. In such events, homeowners might deal with property damage and losses, including the havoc of personal property. When this takes place, you need to understand what can be covered under your insurance coverage.

Does homeowners insurance cover water damage?

Generally, your standard homeowner’s insurance plan should cover physical damage to your house and the personal belongings brought on by water. This includes flooding resulting from natural disasters like storms or excessive rain. But for the most part, it does not cover damage as a result of flooding from rivers and lakes because an abrupt and unforeseen event does not cause it. If you live in these areas, purchasing separate flood insurance coverage in addition to your regular homeowner’s policy would be wise.

Homeowners insurance also does not cover damage caused by lack of upkeep, floods resulting from substandard drainage systems or sewer backups, or mold and mildew caused by poor ventilation. Aside from that, it may not cover repair work to basements, wall surfaces, driveways, or sidewalks if a flood damages them.

Lastly, homeowners insurance coverage typically does not cover damages caused by earthquakes or sinkholes unless you have a special plan.

It’s worth noting, though, that you may have to pay out of pocket before getting a reimbursement, depending on the extent of the damage and your coverage limits. Make sure to review the policy carefully, so you understand precisely what is covered.

It’s also vital to keep in mind that certain flood-related losses may be tax-deductible, so try to keep all receipts related to repairs or replacement purchases if you’re entitled to a deduction. Suppose your insurance provider suggested a restoration company to assist you with water damage, and you are unsure about their level of expertise. In that case, you can check their website first and read testimonials from satisfied customers.

What are the common types of losses included in an insurance claim?

The following are a few of the prevalent types of losses that may be covered under your insurance coverage:


  • Cleanup costs


This involves draining water from your property, removing debris and mud, mold removal or remediation, and other necessary services. Your insurance provider can recommend a property damage restoration company to help you with your cleanup efforts.

You may also choose one by yourself but ensure that the water damage restoration service has the experience and knowledge to do the job to prevent more damage. Continue reading for more information about how it works.

  • Repair and replacement costs


Depending on the damage severity, you may require to change or repair items in your home, including floors, walls, furnishings, carpets, electrical equipment, pipe fixtures, appliances, and cooling and heating systems. Your insurance plan will also cover any losses of important paperwork due to water damage.


  • Additional living expenses


If you need to leave your home while repair services are being made, you may be reimbursed for hotel stays, meals, and other costs that go beyond your usual monthly expenses. Your insurance provider can provide more information on this coverage.


  • Personal property damage claims


You will be compensated for any personal valuables damaged or destroyed due to the flood waters, such as jewelry, clothes, gadgets, artwork, and books. The amount of coverage usually depends on the limits included in your policy and the type of losses incurred.

The Bottom Line

No one wants to experience water damage to their home, but with the right homeowner’s insurance policy, any losses can be minimized, and repairs can usually be made without a lot of difficulties. Make sure to review your coverage carefully so you have an idea of what is covered, what sort of restrictions are in place, and how you should continue if a claim needs to be filed.

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