Does Homeowners Insurance Coverage Reimburse for Bathroom Leaks?

Gradual water damage refers to a repair that is not caused overnight but slowly develops over the months. For example, your pipe leaks, and you did not take any steps to fix it, so over time, the leaky pipe bursts, causing water damage. Unfortunately, a standard homeowners insurance policy won’t cover this type of damage.

Here are some other gradual repairs that are not covered by homeowners insurance:

• Old/damaged wires
• Roof repairs (leaks or damaged shingles)
• Rot, rust, or mold damage
• Lack of maintenance-related repairs

Water damage may occur at any time, either from faulty plumbing systems or structural damage, so it is quite common to file claims for it. However, your homeowners insurance will only cover the following water damage:

• Broken/Burst Pipes — Accidental or sudden repairs resulting from a broken or burst pipe will be covered.
• Mold Damage Issues — Mold damage resulting from a named peril will always be covered.
• Tree Damage to Roof — Damage resulting from a falling tree branch on the roof may be covered.

The types of water damage covered will depend on the type of your homeowners insurance policy. However, generally, you will be denied coverage in the following situations:

• Mold Damage — Most standard homeowners insurance policies don’t provide mold damage coverage. You may need to buy an additional endorsement as required.
• Sewage Backup — Water damage resulting from sewage overflow or backup will not be covered by homeowners insurance, so you may need a separate add-on for that.

• Know Your Policy — Ensure that you know the coverage exclusions of your policy so that you can decide whether you need separate insurance for leak coverage.
• Schedule Regular Maintenance — Leaks resulting from general wear and tear typically aren’t covered, so ensure to schedule a professional plumbing inspection every year to identify leaks or damages beforehand.
• Purchase Additional Coverage — A basic homeowners insurance policy will not cover floods, mold damage, etc. So, buy additional coverage depending on your home or location-specific perils.