Water Damage and Your Home: What Insurance Will and Won't Cover

It’s no secret that recently insurance providers have been dropping policies left and right, leaving thousands of homeowners without coverage for one of their largest assets – their home. This situation raises questions about when it's appropriate to file an insurance claim after water damage occurs or if not filing a claim is in their best interest. Water damage coverage can be a gray area, so understanding what types are typically covered by your homeowners insurance can help you navigate the complexities of your policy and ensure you're protected when disaster strikes.

Types of Water Damage Typically Covered

• Sudden Pipe Leaks: If water abruptly leaks from a pipe inside your home, this is usually covered.
• Frozen/Burst Pipes: Damage from frozen or burst pipes is covered if reasonable care was taken to maintain heat in the home. Your insurance agent should define what is considered “reasonable care.”
• Water Backup Through a Sewer or Drain: This type of damage is covered if you have the right endorsement, also called a “rider.” Endorsements can add, delete, exclude, or change coverage and can increase standard coverage limits, such as for sewer lines.
• Ice Dams: Water damage caused by ice dams on your roof is generally covered. An ice dam is a ridge of ice that forms at the edge of your roof, preventing melting snow from draining off.

Damage That Isn’t Covered

• Flooding from Outside: Damage from external flooding, such as from torrential rain or snow, is not covered by standard policies. If your home is located in a floodplain you are usually required to carry flood insurance, which would cover flood damage to your structure, detached garage, electrical system, etc. Look up an interactive flood map on the internet to find out if your home is in a floodplain. 
• Subsurface and Surface Water: Water that seeps into your home from the ground is typically excluded.
• Water Backup Without Endorsement: If you don’t have the proper endorsement, water backing up through a sewer or drain won’t be covered.
• Natural Water Disasters: Tidal water, tsunamis, overflow from bodies of water, and spray from any of these events, whether driven by wind or not, are excluded.
• Frozen Burst Pipes Without Reasonable Care: If you didn’t take reasonable steps to maintain heat, damage from frozen burst pipes won’t be covered.

When Not to File a Claim

• Minor Damage: If your claim is less than or slightly over your deductible, it might not be worth filing.
• Non-Covered Damage: If the damage isn’t covered by your policy or you lack the necessary endorsements, filing a claim is futile.
• High Likelihood of Denial: If you’re relatively certain your claim will be denied, it’s best not to file.

Filing a claim can impact your insurance record. Any claim you file is recorded in a national database called CLUE (Comprehensive Loss Underwriting Exchange). Even claims that pay out $0 are recorded and could result in higher premiums, being dropped from your policy, or denial of coverage in the future.

Filing a Claim

If the damage is extensive and falls under your policy's covered events, consider initiating the claims process. When in doubt about the extent of the damage, calling a professional for an estimate is advisable. Homeowners often underestimate damage severity, so for anything beyond minor damage, an expert opinion is crucial. With water damage, the extent of the damage can quickly increase and cause additional problems, such as mold formation, so swift action is necessary.

Network of Providers

If you file a claim, your insurance provider may offer a list of “approved” companies or companies within their “network” to repair the damage. You are not obligated to use these providers. Their network typically includes professionals who have contracted with your insurance company to provide services at a lower cost, which sometimes results in sub-par workmanship. While this isn’t always the case, it’s worth researching and choosing a provider based on quality, not just cost. The lower cost benefits only your insurance company and could potentially cost you more money down the road in repairs or higher premiums.

Best Option Restoration

Best Option Restoration-DTC are not just water damage repair experts – we are also experts in helping you navigate your insurance claim. We will even work directly with your insurance carrier to assist with getting your claim approved. We offer 24/7 emergency restoration services, so regardless of when your emergency happens, you can count on us to be there to help. We are nationally known, but locally owned, and can usually arrive within one hour of your call.

What You Can Expect With Best Option Restoration-DTC

1. We will assist you over the phone with locating the source and turning off the water supply if you haven’t already done so, to prevent more damage from occurring. Meanwhile, our crew will be dispatched to your home.
2. If you were unable to stop the flow of water, we will do so upon arrival.
3. We assess the extent of the damage to provide an accurate estimate.
4. Move furniture and personal belongings out of harm's way.
5. Extract moisture using high-powered equipment.
6. Set up thermal drying equipment to begin the drying process.
7. Communicate our next steps with you.
8. Assist with your insurance claim as needed.

When you have water damage in your home, it can leave you feeling anxious and worried. With one call to Best Option Restoration, we’ll put your mind at ease. We are experts at handling water damage repair and will get you back to normal faster. Get in touch with us at {phone number} for a free estimate 24/7.

Your home and your family deserve the best. Contact Best Option Restoration-DTC today at 720-500-5350.

Best Option Restoration-DTC is a 24/7 Emergency water, fire and mold damage repair company. We are locally owned and operated, licensed and insured. Our experienced technicians will arrive quickly and with a sense of urgency when you call us for help. We work with all insurance companies and are happy to assist you with your claim. 

You can depend on Best Option Restoration-DTC to have the best equipment and utilize the latest technology to repair your property fast and professionally. If your home or business has water damage, fire damage, or mold damage, contact Best Option Restoration-DTC for fast, friendly, local service, 24 hours a day, 7 days a week.