The short answer? It depends — and current policy language matters. Standard homeowners forms (HO‑3/HO‑5) generally cover sudden and accidental water discharge from inside the home (for example, a burst pipe or failed supply line), and many policies also pay the reasonable cost to tear out and access the failed plumbing to make repairs (Texas Department of Insurance). By contrast, flood (rising water from outside) is excluded and requires a separate policy; even 1 inch of interior flooding can cause around $25,000 in damage (FEMA/NFIP). Sewer or drain backup is typically excluded unless you add an endorsement with its own limit, commonly in the $5,000–$25,000 range (Insurance Information Institute). Modern forms also exclude damage from continuous or repeated leakage (often defined as 14 days or more), and they limit mold unless you buy higher limits (TDI; NAIC). Market and regulatory trends can affect how water losses are handled: for example, Florida’s state-backed insurer applies a $10,000 cap to many non‑weather water losses if you decline its Managed Repair Program (Citizens Property Insurance), and regulators are increasing transparency expectations around underwriting and claims decisions (NYDFS AI/ECDIS guidance; California Sustainable Insurance Strategy).
To understand better the water damages covered by homeowners insurance, note the distinction between HO‑3 and HO‑5: both generally protect against sudden and accidental water losses, but HO‑5 typically applies “open‑peril” protection more broadly (especially to personal property), while exclusions like flood, sewer backup (without an endorsement), and long‑term leaks still apply in either form (NAIC; TDI).
What Water Damage Does My Homeowners Insurance Cover?
Your homeowners insurance policy will cover water damage from sudden accidents that you couldn’t have reasonably prevented and that came from inside of your property, and many policies include coverage for tear‑out and access to fix failed plumbing (TDI). Dwelling coverage, also known as hazard insurance, helps repair damages to your home structure, and coverage typically extends when a covered wind or hail event first creates an opening that lets rain enter. Additional Living Expenses often apply if a covered water loss makes your home uninhabitable (NAIC). HO‑5 policies provide broader “open‑peril” protection than many HO‑3 policies, but both exclude maintenance and long‑term leakage. Nonetheless, your home insurance won’t cover damage caused by flooding — a separate NFIP or private flood policy is needed (FEMA).
If you’re still asking is water damage covered by homeowners insurance? Here are examples of covered scenarios:
- Plumbing mishaps (burst, frozen, faulty): Your policy could cover sudden bursts or blockages in your plumbing system if an overflow of water or steam caused it, and many policies cover reasonable tear‑out and access to reach failed pipes. Freeze‑related bursts are usually covered if you maintained heat or properly winterized the system (TDI). Resulting damage is generally covered; the worn part itself may not be.
- Water damage from extinguishing a fire: If sprinklers activate or firefighters extinguish a fire, resulting water damage is typically covered. Note that mold arising afterward may be subject to low policy sublimits unless you purchased higher limits (NAIC; Triple‑I).
- Appliance overflow: Sudden discharges from a washing machine, dishwasher, or water heater are generally covered for the resulting damage, not the appliance repair/replacement. For mechanical breakdowns due to wear‑and‑tear, you would look to a service contract such as a home warranty rather than homeowners insurance (NAIC).
- Heavy rain or snow, and leaking roof: Interior water damage from weather may be covered when a covered peril (e.g., wind or hail) first creates an opening that lets rain or snow in; wind‑driven rain without damage‑created opening can be excluded depending on the form and state (TDI).
- Vandalism: Intentional damage to your plumbing system or someone maliciously leaving water running may be covered under vandalism/malicious mischief, subject to policy terms (NAIC).
What Water Damage Is Not Covered by My Homeowners Insurance?
While your insurance policy covers many types of damage, the cause of the damage may not be covered. Wear‑and‑tear, neglect, and long‑term leakage are excluded in modern forms (many specify no coverage if leakage lasts 14 days or more). Insurers also exclude flood and water below the surface of the ground, and standard policies exclude sewer/drain backup unless you add an endorsement with its own limit (TDI; Triple‑I; NAIC). If you have a leaky roof, your insurance won’t cover the cost to replace the roof due to wear‑and‑tear, but it can cover interior water damage when the loss results from a covered peril.
Some instances where you won’t be covered for water damage include:
- Flooding from rain, river overflow or tsunami: A significant source of water damage that is not always covered is flooding, including flooding from natural causes like rain, river overflow or tsunamis. For that, you’ll need a separate flood insurance policy. As little as 1 inch of floodwater can cause around $25,000 in damage (FEMA).
- Sewer backups: Overflows that are caused by sewages or drains are not covered either. But you can ask your insurer for an add-on or endorsement to include these on your policy, which typically carries its own limit (often about $5,000–$25,000) (Triple‑I).
- Seepage: If water seeps damage the foundation and interior of your property, home insurance companies consider it as a maintenance problem, excluding it from coverage. Continuous or repeated leakage (commonly defined as 14 days or more) and water below ground level are typical exclusions (TDI).
How Do You Prevent Water Damage?
Water damage is a common and expensive home insurance claim, with about 1 in 60 insured homes filing a water or freezing claim in a typical year and an average claim around $12,500 (Insurance Information Institute). Heavy precipitation events have become more frequent and intense across much of the U.S., increasing risks of urban/sewer backup and rain‑driven intrusion (EPA heavy precipitation indicators). The U.S. also recorded a record 28 billion‑dollar weather and climate disasters in 2023, with severe convective storms driving extensive water intrusion alongside wind/hail (NOAA; Aon). Non‑weather water claim severity has continued to rise in industry benchmarking, prompting greater use of leak detection and managed repair (LexisNexis 2024 Home Trends).
- Disconnect hoses and maintain vegetation: Water left in a hose can freeze, back up, and cause your pipes to burst, while roots from trees and shrubs can wrap around your pipes and break them. Maintain heat or properly winterize if away to preserve freeze coverage (TDI).
- Clear gutters and downspouts: Clearing these water collectors of any debris will prevent backup and clogs. This reduces the chance of wind‑driven rain intrusion when storms damage roofing/flashing (NAIC).
- Maintain appliances: Regularly checking for leaks and maintaining the condition of appliances like dishwashers and laundry machines will help prevent sudden leaks or overflows. Replace worn supply lines and keep drip pans clear (NAIC).
- Install water detection devices: These small devices have sensors that can sound an alarm when they come into contact with moisture. Insurers increasingly incentivize automatic leak detection and whole‑home shutoff systems to cut non‑weather water losses; modern solutions use flow analytics and low‑power sensor networks and can materially reduce claim frequency/severity (LexisNexis; LoRa Alliance).
- Monitor the water bill: If you notice a sudden spike in your water bill, there’s a good chance you have an unattended leak — whether it’s hiding in the basement or in a pipe under your lawn. Submetering and interval data are proven strategies to spot “silent” losses (EPA WaterSense at Work).
FAQ
Does Homeowners Insurance Cover Mold?
Your home insurance policy should cover mold if it grows as a result of covered water damage (for example, a sudden pipe burst or sprinkler discharge), but most policies cap mold/fungi/bacteria coverage at low sublimits unless you buy an endorsement to increase them. Mold from long‑term leaks, humidity, or lack of maintenance is typically excluded (NAIC; Triple‑I; TDI).
What’s Next?
- Check out our review of the best homeowners insurance companies and grab a few quotes to make sure you have the coverage you need. Ask about 14‑day leakage language, mold sublimits, tear‑out/access coverage, and endorsements like water backup or service line (TDI; NAIC).
- For appliances and systems that your homeowners insurance coverage won’t protect, look into the best home warranty companies. Review how warranties differ from insurance (wear‑and‑tear vs. sudden loss) and check state regulator guidance before buying (FTC).
- If it’s time to file for that burst pipe, here’s everything you should know about insurance claims. Act quickly to stop the water and document damage; some carriers use managed repair networks for water mitigation, and in Florida, declining the state insurer’s program can trigger a $10,000 cap on many non‑weather water losses (Citizens). For flood exposures, compare NFIP and private policies; lenders in high‑risk zones must accept qualifying private flood insurance, and FHA formally allows private flood on FHA‑insured mortgages (HUD/FHA rule; FEMA Risk Rating 2.0).
