Water damage insurance claims

How to file a home insurance claim for water damage

To file a home insurance claim for water damage, stop the leak, document the damage, contact your insurer, and cooperate with the adjuster. Take photos and videos before making repairs, if it is safe to do so. Make reasonable temporary repairs to prevent further damage, save receipts, and avoid major repairs until your insurer has assessed the loss.

Follow these steps to make sure the claims process goes smoothly:

Stop the leak or flow of water to prevent further damage.
Enlist the help of a professional if necessary to prevent mold.
Take photos or videos to document the damage.
Call your insurance carrier’s claims number immediately. Most have a 24-hour claims hotline.
Cooperate with the insurance adjuster to meet deadlines.
Get repair estimates for work.
You’ll be responsible for the deductible, the insurance company will pay for the remainder of the repairs.

Should I file a home insurance claim for water damage?

Before you file a claim, determine the cause of the damage and whether it’s covered by home insurance or flood insurance. Standard homeowners insurance does not cover flooding from overland sources of water, so you need flood insurance for those losses.

“The general rule is that water from the ground is not covered,” says Marc Ragin, Associate Professor of Risk Management and Insurance at the University of Georgia. “If there is any flooding or storm surge, you’re not covered by a standard homeowners’ policy – you need a separate flood insurance policy. If a storm blows your roof off or breaks your windows and rain damages the inside of your home, a standard homeowners’ policy should cover the damage.”

There are other common exclusions, including:

Sewer backups
Seepage from cracks in the foundation
Swimming pool overflows
Flooding caused by earth movement/earthquakes
Any gradual leaks caused by a lack of maintenance

You can get coverage for some exclusions, like water and sewer backup, via an endorsement on your policy.

Here’s what’s generally covered by a standard home insurance policy:

Sudden leaks from broken appliances or plumbing
Ice dams that cause water issues
Burst pipes
Roof leaks caused by fallen trees or storms

Keep in mind, there are even exceptions to these. If the water damage is caused by your negligence or lack of maintenance, your claim could be denied. For instance, falling trees are usually covered, but not if the tree was not healthy and you were aware of it. The insurance company could deny the claim. You are responsible for protecting your home from potential risks, including dead or dying trees that are likely to fall.

If you have water damage that you believe is a covered loss, then file a claim immediately. You will be responsible for your deductible and the insurance company will pay the remainder of the repairs.

For example, if water enters through the roof due to storm damage and causes $4,500 in covered drywall damage, and your deductible is $2,000, you would pay the first $2,000. The insurer would pay the remaining $2,500. If the damage totals only $1,500, you would pay the entire repair cost because it does not exceed your deductible.

How to get insurance to pay for water damage

To improve your chances of getting paid for water damage, review your policy and document the loss to show that the damage resulted from a covered cause. Report the claim promptly, prevent additional damage, save receipts and cooperate with the adjuster. Clear records will help your insurer evaluate the claim and determine what it should cover.

“Understanding your insurance policy and what is covered, the deductible amount and any other requirements to filing a claim is important,” says Matt Banaszynski, CEO of the Independent Insurance Agents of Wisconsin.

“Contact your insurance agent and they can provide assistance with filing a claim with the insurance company. Once a claim has been filed it is in the best interest of the policy holder to work closely with their insurance company during the claims process. Provide necessary documentation and be honest and thorough in your description and cooperate with the adjuster,” he says.

“Timing is important to make the claims process as smooth as possible,” Banaszynski says.

Documentation will help prove that your damage is a covered loss and not excluded from your policy. This includes photos and videos of the source of the water, the actual damaged structures and/or receipts and serial numbers of any items that were ruined.

“Take photos yourself as it’s helpful, you can never have too much documentation,” Banaszynski says.

If you hired a water remediation company, you’ll need their invoices. If you rented a wet vac or any other equipment from the hardware store, save all those receipts as well.

Dealing with an insurance adjuster after water damage

The insurance adjuster investigates the cause of the loss, assesses the damage and reviews the documents supporting your claim. Prepare for the inspection by organizing your photos, videos, receipts and repair estimates. Explain what happened, when you discovered the damage and what you did to prevent further loss.

“Keep detailed records of all communications, including emails, letters, and agreements with the adjuster,” Banaszynski says. “Documentation is essential for transparency and accountability.” The more pictures, videos, [and] receipts the better.

The company will inform you of each step you need to take to meet any deadlines. Follow all instructions in a timely manner. “It's important to have a clear understanding of their process,” Banaszynski says.

You can sometimes negotiate when it comes to the settlement. If the settlement amount that comes back from the insurance company seems low, don't feel you have to accept it. Speak to someone else or escalate to a manager. “Remember that most of the time the decision regarding settlement offers ultimately rests with you. Stay informed and retain control,” Banaszynski says.

Bear in mind that replacement cost coverage usually pays out in two stages. First, you will receive a check for the depreciated value (actual cash value), and the remainder will be paid when the work is done and a final total is available. So don’t panic if the first check is lower than expected.

How much does insurance pay for water damage?

The amount homeowners insurance pays for water damage depends on the cause of the loss, the covered damage, your deductible, your policy limits and the type of coverage you have. There are two parts of your homeowners insurance. One has to do with damage to your home’s structure, called dwelling coverage. The other has to do with your personal belongings, called personal property coverage.

You have coverage limits for each of these, and that will determine how much the insurance company will pay, minus your deductible. It’s a good idea to review your coverage limits every year with your agent to make sure you have enough protection. This is an especially good idea if you’ve done work on your home, for example an addition or renovations.

How to maximize your water damage claim

To maximize your water damage claim, make it as easy as possible for the insurance company to do its job. Make sure the leak is stopped and no further damage occurs, including mold growth. Take detailed pictures to show the source of the water and the damage. Meet every deadline the insurance company sets. Then document the damaged structures and items.

Take these steps:

Stop the leak. Shut off the water supply if it is the source of the damage, and it is safe to do so.
Prevent further damage. Arrange emergency water remediation or make reasonable temporary repairs.
Document the loss. Photograph and record the source of the water and all affected property.
Keep damaged items. Do not discard belongings unless they are unsafe or unsanitary.
Save receipts. Keep invoices for repairs, water extraction, equipment rentals and temporary lodging.
Create an inventory. List every damaged or destroyed item.
Provide repair estimates. Get detailed estimates that explain the required work and materials.
Meet deadlines. Submit forms and supporting documents when required.
Review the estimate. Check for missing damage, incorrect measurements, or omitted items.
Ask questions. Confirm how depreciation, deductibles, limits, and endorsements affect payment.

“Claimants need to provide a 'proof of loss' to the insurance company, including an inventory of all the things that were damaged and need to be repaired/replaced,” Ragin says. “Usually this is required within 60 days of the claim.”

For the structure of your home, dwelling coverage pays out based on replacement cost. For your belongings, however, most standard homeowners policies pay claims based on actual cash value, which includes depreciation. You must add replacement cost coverage for personal property to your policy to have contents covered for the cost to buy them new.

If you do have replacement cost coverage for personal property, providing as much information as possible will get you the best settlement.

“For example, let’s say you had a top-of-the-line 65-inch Samsung TV that was damaged. If you file a claim for a “65-inch TV,” you’ll be reimbursed for the cheapest 65” TV on the market. If you file a claim for a “65-inch Samsung 4K OLED TV” (ideally providing a model number), you’ll be able to replace exactly what was lost,” Ragin says.

FAQ: Water damage insurance

What happens if I can’t find the source of the leak?

Contact a plumber and your insurance company. Your insurer may cover the resulting damage if the cause is covered. Keep the plumber’s report because it will explain where the water came from and what caused the damage.

Will insurance pay for water removal and cleanup?

Yes, your policy will cover emergency water removal and cleanup when the damage comes from a covered event. Save your receipts and document the damage before cleanup begins. Coverage for sewage cleanup and mold removal depends on your policy.

What should I do if my water damage claim is denied?

Ask your insurer for the denial reason in writing and review the policy language cited in the decision. Gather documents that support your claim and request a reconsideration. You can also contact your state insurance department or speak with an insurance attorney.