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What Are Important Water Damage Coverages for My Home?

Home insurance companies in Ontario offer some form of coverage against water damage. Yet, there can be some exceptions, and it is best to know what is covered and what is not when purchasing a home insurance policy. 

It is important to note that the cause of water damage determines if the insurance provider will cover the damage or if it is something you will have to pay for out of pocket. 

Water damage can occur due to many reasons. It could be due to a natural disaster, an unexpected breakdown of an appliance, or the negligence of the homeowner. Home insurance companies in Ontario will first determine the cause of the damage and then assess what needs fixing. 

A standard home insurance policy may not cover some water damage. Yet, in most cases, you can get additional coverage to protect against these situations. 

James Campbell Insurance provides coverage against damage caused by floods, hurricanes, and other major storm episodes. It means you will be protected if there is water damage from flooding, but ensure you discuss the coverage details with our professionals.

What Is Covered And What Is Not?

A standard home insurance policy covers “discharge and overflow” situations in Ontario. It means that an appliance or vessel in your home that was supposed to hold water floods the house and causes damage. 

It includes damage from a sudden burst pipe, washing machine or dishwasher. However, you may not have coverage if it is a continuous or ongoing issue, or a slow leak.

Overland Flood Coverage

Flood damage coverage is a more recent inclusion by home insurance companies in Ontario. Some form of flood damage coverage is included with add-ons to a standard policy, but there are some exclusions. Note that the homeowner should not be in a flood-prone zone. 

The typical coverage includes damage from overland water and damage from freshwater floods. These are from heavy rains, overflow from streams, lakes, rivers, melting snow, and other unexpected events. 

These situations can also lead to drains and gutters overflowing and letting water into the house through the foundation, basement doors, etc. 

Sewer Backup Coverage

Another form of water damage is caused by sewer backup. Sewer backup occurs when wastewater or sewage backs up in the drains and pipes, causing the waste to enter your home through the sinks and other drains. Not only that, it can also include septic tanks, downspouts and eavestroughs. 

This damage can be extensive. Therefore, consider adding additional coverage to any standard policy offered by home insurance companies in Ontario. 

On top of adding it to the home insurance coverage, you should also invest in a sewer backup detection device, backflow preventer or a sump pump, as these will help prevent significant damage to the home. 

A sump pump, typically installed in the basement, moves water from the basement to the outside of the home. It is a pit, housing the sump pump, with valves for sensing escalating water levels or pressure. It is not an expensive investment. Therefore, homeowners should consider installing one. 

Seepage Coverage

You may be lucky if you have never encountered seepage. It is a problem homeowners face. Seepage is the slow and continuous water infiltration from one place to another through porous material or small holes. 

The water seeps into the walls or ceilings and causes the paint to come off the surface. This results in stains in the affected area, air pockets between the surface of the wall and the paint chipping off in the area. 

It is a slow process, meaning if you pay attention, you can catch it early and address it before it reaches a stage where significant repairs are needed. 

Typically, home insurance companies in Ontario don’t cover damage from seepage. Due to the nature of the damage, seepage is ignorance by the homeowner and lack of regular maintenance. In this case, the insurance providers will not offer coverage for repairs to the damaged parts of the wall.

What Add-Ons To Get

Some home insurance policy add-ons include: 

Water Backup Coverage 

As mentioned earlier, a standard home insurance policy will only cover unexpected events such as damage from burst pipes. 

Adding water backup coverage will protect you against pipeline backups or sump pumps. It acts as an additional layer of coverage for protection against water damage. 

Equipment Breakdown Coverage

It is another essential add-on you should consider when negotiating with home insurance companies in Ontario. Also known as appliance coverage, it includes mechanical damage to appliances like televisions, AC systems, washing machines, dishwashers, dryers, refrigerators, home gym set-ups, in-floor heating, etc. 

What Are Important Water Damage Coverages For My Home: Final Thoughts

Understanding what the home insurance companies in Ontario offer as part of their policies is essential to protect against water-related damage. Even though a standard home insurance policy will not provide all-around protection against water damage, having add-ons ensures that damage from different unexpected events is covered.

For more information about water damage coverage, call James Campbell Insurance at 1-833-459-1065 or contact us here