Does Homeowners Insurance Cover Water Damage?

Homeowners insurance covers water damage that’s caused by a covered peril, such as a burst pipe. Water damage caused by maintenance issues or negligence, however, is not covered.

Find out if you're overpaying for homeowners insurance below.

Written by Mark Fitzpatrick

Updated: November 26, 2025

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Key Takeaways

Homeowners insurance companies cover water damage only when it’s caused by a sudden or accidental covered peril.

If water damage occurred because of neglect, poor maintenance or intentional acts, homeowners insurance will not cover the repairs or replacements.

Flooding is not covered by standard home insurance policies, but you can purchase a separate flood insurance policy if you live in a flood-prone area.

Does Home Insurance Cover Water Damage?

Home insurance covers water damage if it’s caused by a covered peril, which is an event that is sudden and accidental, not gradual issues or neglect. Common covered perils that involve water damage include:

Burst or broken pipes
Accidental overflow of household appliances (like a washing machine)
Sudden and accidental discharge of water or steam from plumbing, heating, or air conditioning systems
Water damage caused by extinguishing a fire
Wind- or hail-related damage that leads to water entering the home
Septic tank damage
Vandalism that results in water damage

How Does Homeowners Insurance Cover Water Damage?

Homeowners insurance can help pay for water damage through three main types of coverage: dwelling, personal property and liability coverage. Each applies in different situations depending on what was damaged and who was affected.


Dwelling Coverage	Repairs or rebuilds your home’s structure when water damage is caused by a covered peril.	A burst pipe floods your kitchen, damaging floors, walls and built-in cabinets.
Personal Property Coverage	Protects belongings like furniture, clothing and electronics from covered water damage.	A washing machine overflows and ruins your couch and area rug.
Liability Coverage	Helps pay for damage to someone else’s property caused by water from your home.	An upstairs bathtub overflows and leaks into your downstairs neighbor’s apartment.
Additional Living Expenses (ALE)	Covers temporary housing and living costs when water damage makes your home uninhabitable.	A burst pipe floods your home, forcing you to stay in a hotel for three weeks during repairs.

Insurance for Water Damage: Exclusions

Home insurance does not cover water damage when it results from gradual issues, maintenance problems, or natural events that are excluded from standard policies. Insurers view these situations as preventable through regular upkeep or require separate coverage. Common water damage exclusions include:

Flooding from heavy rain, storm surge, or rising rivers
Sewer or drain backups (unless you have add-on coverage)
Gradual leaks or seepage over time
Poor maintenance or neglect of plumbing systems
Mold or rot caused by long-term moisture buildup
Groundwater seeping into basements or foundations

BUY FLOOD INSURANCE IF YOU LIVE A IN A FLOOD-PRONE AREA

Water damage can be extremely expensive to repair, often costing thousands of dollars. Standard homeowners insurance covers sudden, accidental water damage from internal sources, but it never covers flooding.

If you live in a flood-prone area, buy a separate flood insurance policy to protect yourself against catastrophic repair costs.

Water Damage vs. Flood Damage: What’s The Difference?

When it comes to insurance, water damage and flood damage are treated very differently. A flood, as defined by the National Flood Insurance Program (NFIP), is an excess of water on normally dry land affecting two or more properties or two or more acres. Standard homeowners insurance policies don’t cover floods, so you’ll need to purchase a separate flood insurance policy if you want protection against this type of event.

Water damage, on the other hand, refers to sudden and accidental events that cause water to damage your home, such as a burst pipe, an overflowing appliance, or water used to put out a fire. These scenarios are generally covered by standard homeowners insurance, provided they stem from a covered peril.

Check your policy's definitions section to understand your specific coverage. Some policies include broader water damage protection while others have restrictive exclusions. Your insurance agent can clarify coverage questions before damage occurs.

When to File a Water Damage Claim

How you respond in the first 24 hours after discovering water damage affects whether your insurer approves or denies your claim. Here's what to do when water damage strikes and you want to file a home insurance claim:

1
Report Damage Immediately
Contact your insurance company immediately after discovering water damage from a covered peril. Quick reporting helps prevent additional damage and speeds up your claim.
2
Document Everything Before Cleanup
Take photos and videos of affected areas, damaged belongings and the water source if visible. Your insurer needs this evidence to process your claim accurately.
3
Weigh Your Deductible Against Repair Costs
Consider your deductible before filing minor claims. If repair costs barely exceed your deductible, paying out of pocket may save you from rate increases. Most insurers raise premiums after water damage claims, and multiple claims can lead to policy cancellation.
4
Save All Emergency Repair Receipts
Keep all receipts for emergency repairs and temporary housing. Your policy may reimburse these expenses if the damage makes your home uninhabitable. Don't wait for adjuster approval before making emergency repairs to prevent further damage.

How to Buy Flood Insurance

Most homeowners, renters and business owners can buy flood insurance, whether or not they live in a high-risk flood zone. To find out your risk level, check FEMA’s Flood Map Service Center, which shows whether your property is in a designated flood zone.

Flood insurance is available through the National Flood Insurance Program (NFIP), which sells policies only through licensed insurance agents, not directly to consumers.

If you want coverage, reach out to your home insurance agent or search FEMA’s agent locator to find one authorized to sell NFIP policies. In some areas, private insurers also offer flood coverage, which you can buy directly from the company or through an agent.

When to File a Water Damage Claim

How to Protect Your Home From Water Damage

Regular maintenance prevents most water damage that insurance won't cover. Since insurers deny claims caused by negligence or poor maintenance, prevention protects both your home and your wallet. Focus on four key areas: plumbing systems, exterior protection, basement waterproofing and personal property storage.

1
Maintain your indoor plumbing system
Inspect pipes, appliance hoses, faucets and fixtures monthly for small leaks before they become major problems. Install water leak detection systems that automatically shut off your water if leaks are detected. Replace cracked or damaged hoses immediately, and update all appliance hoses every 5 to 7 years regardless of visible wear.
2
Repair and protect your home's exterior
Prevent water from entering by caulking windows, repairing missing shingles, and keeping gutters clean with gutter guards. Check downspouts regularly to ensure water flows away from your foundation. Maintain sprinkler systems and winterize outdoor plumbing to prevent pipe freezes that can cause interior flooding.
3
Prevent basement water seepage
Basements are particularly vulnerable to water damage. Reseal your basement walls periodically and install backwater valves to prevent sewer backups. These simple measures can prevent thousands in damage that standard insurance won't cover.
4
Protect your personal property
Store valuable items in waterproof containers and use elevated shelving in basements and areas prone to water issues. Maintain an updated home inventory with photos and receipts to simplify claims if water damage does occur.

Does Home Insurance Cover Water Damage: Bottom Line

Homeowners insurance covers water damage only when it's sudden, accidental and originates from inside your home. For complete protection, review your policy for exclusions and consider adding specific endorsements for sewer backups and hidden water damage, which aren't covered in standard policies.

Remember that flood damage requires separate flood insurance, regardless of cause. However, prevention through regular maintenance remains the most reliable defense against expensive water damage that insurance won't cover.
Get quotes from at least three insurers to find the best and most affordable option to protect your home.

Is Water Damage Covered By Insurance: FAQ

Understanding water damage coverage can be confusing due to the many policy variations and exclusions. Here are answers to common questions about how homeowners insurance handles different water damage scenarios.

Is water damage from appliances covered by home insurance?

Homeowners insurance covers damage from suddenly malfunctioning appliances like washing machines or dishwashers. Your policy pays for damage to floors, walls and belongings but excludes the appliance replacement cost. Some insurers offer equipment breakdown endorsements that cover both the appliance and resulting water damage.

Does homeowners insurance cover mold from water damage?

If you have mold from water damage, homeowners insurance only covers mold that results directly from a covered water damage event, such as a burst pipe. Mold from long-term humidity issues, flooding, or maintenance problems isn't covered.

Many policies have specific mold damage limits, between $1,000 to $10,000, which can be insufficient for extensive mold remediation that can cost $10,000 to $30,000.

How do I prove water damage was sudden for insurance claims?

To prove water damage was sudden rather than a maintenance issue, document when you first noticed the damage, take date-stamped photos, and have a plumber provide written confirmation of the cause. Keep maintenance records showing regular inspections of your plumbing system, and report the damage immediately upon discovery.

Insurance adjusters look for signs of long-term water exposure like warping, multiple water rings, or mold growth when evaluating claims.

Is roof leak water damage covered by homeowners insurance?

If you have roof leak water damage, it's covered if caused by a sudden, covered peril like wind, hail or falling objects. The insurance will pay for interior water damage and roof repairs, but not if the leak resulted from an aging or poorly maintained roof. Many policies exclude damage from roof leaks that developed gradually or occurred in roofs beyond a certain age, 15 to 20 years old.

Does Homeowners Insurance Cover Flooding: Related Articles

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.

Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!

He writes about economics and insurance, breaking down complex topics so people know what they're buying.

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sources

Insurance Information Institute. "How to Protect Your Home From Water Damage." Accessed October 30, 2024.