Does Homeowners Insurance Cover Water Damage?

Homeowners insurance covers water damage that happens suddenly and accidentally from sources inside your home. Water damage from internal sources like burst pipes, overflowing appliances and leaking water heaters falls under your dwelling coverage.

Standard policies cover water damage in three ways:

• Dwelling coverage pays for structural repairs like damaged ceilings, walls and floors
• Personal property coverage replaces or repairs damaged belongings
• Additional living expenses coverage pays for temporary housing if water damage makes your home uninhabitable

Some types of water damage require special endorsements to your policy. Sewer backup and hidden water damage coverage for slow leaks behind walls aren't included in standard policies.

Standard homeowners insurance won't cover water damage caused by negligence, maintenance issues, flooding or external water sources. These exclusions apply regardless of the resulting damage:

Regular maintenance is your best defense against costly 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. The most important preventive measures focus on your plumbing system, roof, basement and personal property protection:

All major insurance companies offer water damage protection in their standard homeowners policies. Leading national carriers like State Farm and regional insurers like Hippo provide comparable basic coverage, but their endorsement options and prices for specialized water damage protection vary widely.

The average cost for homeowners insurance is $175 per month, though your premium depends on your home's location, flood risk, plumbing system age, and previous water damage claims. When shopping for coverage, compare quotes from multiple insurers and pay special attention to each company's water damage exclusions rather than focusing solely on premium costs.

Use our personal property calculator below to determine how much coverage you need to protect your belongings from water damage.

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. Prevention through regular maintenance remains the most reliable defense against expensive water damage that insurance won't cover.

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.

MoneyGeek analyzes homeowners insurance coverage for water damage using comprehensive data from official sources. Our research relies on official rate filings from state Departments of Insurance across all 50 states and pricing data from Quadrant Information Services to ensure accuracy.

For this page, we examined how standard homeowners insurance policies address water damage claims, analyzing coverage terms, exclusions and endorsement options across major insurance providers. We evaluated specific water damage scenarios to identify which situations qualify for coverage under typical policies and which require additional protection.

Our analysis includes reviewing common policy exclusions such as flood damage, gradual leaks and maintenance-related water issues. We assessed average claim amounts for covered water damage incidents and typical premium increases after filing water damage claims.