When Are Flooded Basements Covered By Homeowners Insurance?

A burst pipe can cause damage to your basement, but a flood, sewage backup, or deteriorated plumbing won’t be covered by homeowner’s insurance.

Flood damage is not covered by homeowners insurance, however, certain kinds of water damage are, depending on the cause. If your basement floods, the water damage must have occurred quickly and unintentionally, such as through a burst pipe, in order to be covered.

Key takeaways

  • Your home’s insurance may protect you if a pipe bursts or a bathtub accidentally overflows, causing damage to your basement.
  • Your home and personal belongings can be protected from flood damage with a separate flood insurance policy, but coverage for your basement is often constrained.
  • To safeguard your house and basement in the event of a sump pump or sewage backup, you should think about incorporating water backup coverage into your homeowner’s policy.

Does homeowners insurance cover a flooded basement?

Flood insurance coverage is not a default feature of standard homeowners insurance. The situations in which homeowners insurance will and will not pay for water damage to a basement are listed below.

When are flooded basements covered by homeowners insurance?

Your residence and personal goods are protected from loss by homeowner’s insurance. If a basement flood is caused by an insured occurrence or an insurance hazard, it is covered.

A theft, fire, storm, or another occurrence that could harm your house or possessions is an insured peril. The homeowner’s insurance you bought will determine the peril coverage you have.

These risks are often covered by regular homeowner’s insurance:

  • Lightning or fire
  • Hail or windstorm explosion
  • Riots
  • Aircraft
  • Vehicles
  • Smoke
  • Vandalism
  • Theft
  • falling things
  • ice, snow, or sleet weight
  • accidental steam or water overflow or discharge
  • sudden and unintentional burning, swelling, tearing, or other damage
  • Freezing
  • Damage from short-circuiting that occurs suddenly and accidentally
  • eruption of a volcano

If a pipe bursts, an appliance breaks, or a water source like a sink, tub, or pool overflows, your homeowner’s insurance will typically cover the damage.

Your homeowner’s insurance company might pay for mold damage if it arises from a covered risk like a burst pipe, wind, or hailstorm. If mold is not connected to risk, the majority of home insurance providers will refuse coverage.

You won’t be protected unless you have separate flood insurance or bought a service line rider that covers sewage lines if your home floods due to a water source outside the residence or a sewer backup.

When is basement flooding not covered by homeowners insurance?

A flooded basement is not covered by your homeowner’s insurance if the damage was caused by inadequate upkeep.

Among the hazards that regular homeowner insurance plans normally don’t cover is damage from sewer backups and natural floods brought on by prolonged periods of heavy rain. These call for additional insurance or different coverage.

According to Ralph Blust, CEO of National Flood Services, flood insurance policies do not cover damage caused by sump pumps, sewer water, broken pipes, rain from open windows, or windstorms.

Burst pipes

Your insurance will probably cover the damage if your basement floods due to a pipe rupture during a freeze or a washing machine pipe break. There are a few exceptions to be aware of, though. For your claim to be valid, you must reside there and maintain a minimum temperature. Additionally, your claim can be rejected if your insurance finds out that you neglected to perform routine maintenance on your pipes. The cost to replace or repair the pipe itself will typically not be covered, only the water damage that results from a burst pipe. That is seen as a maintenance expense for which you, the homeowner, are liable.

Broken appliance

Let’s say your water heater leaks and you don’t notice the basement flooding until hours later. Again, unless the heater turns out to be improperly maintained and cared for, you would normally be protected by your home insurance coverage. If the heater is quite old and the breakdown was caused by its age, there can even be concerns regarding your insurance. For a washing, refrigerator, or other equipment in the basement, the same guidelines apply. Performing preventative maintenance by ensuring that all appliances are in good operating order and are kept tidy pays off.

Localized overflow

If a sink or bathtub spills in the basement and causes a flood, you will probably be covered as long as the overflow was unexpected and accidental. Your claim, however, can be rejected if your insurance can demonstrate that an ongoing maintenance issue caused the flood. So, for instance, you could not get compensated if your toilet consistently overflows due to a clog that you haven’t cleared.

Options for coverage in the event of a flooded basement

Don’t give up if it looks like there are several situations that your insurance won’t cover.

It is possible to carry enough insurance to affordably protect your house and personal goods from the majority of risks that cause water damage, even though additional coverage does have a cost. The most popular ways to increase your insurance are listed below.

  • Flood insurance: As we previously noted, flood insurance is offered separately and is typically provided by the NFIP. It’s crucial to include it in your current policy if your house is in a flood plain or you frequently have flooding issues.
  • Water backup coverage is an add-on that you can make to your main homeowner’s insurance policy. It is made to protect you from water damage brought on by a sump pump or drain backup.
  • Service line coverage: If utility pipes, like as water and sewer lines, are destroyed by a covered risk, this endorsement will pay for the repairs. This recommendation may be advantageous because damaged utility lines may result in floods inside and outside your property.
  • Consider including a contents replacement cost coverage endorsement to your home insurance policy if you keep personal goods in your basement. In other words, you can replace the products following a claim by purchasing a newer model because it protects your personal belongings at their replacement cost worth (without depreciation).


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