Water damage comes in many forms, including: a pipe bursts, filling your basement with water; a bathtub overflows, damaging the ceiling below; or, a dishwasher leaks, ruining your hardwood floors. Whatever form it takes, the resulting damage can be devastating. Today, water damage is of the most common types of home insurance claim in North America. Water damage claims amount to double that of fire and theft claims combined.
There are many steps you can take to prevent water damage. That said, the only way to financially protect your family and home against water damage is to buy water damage insurance. In North America, most home insurance providers give you the option of adding water damage insurance to your policy. At Square One Insurance Services, our policies automatically include protection against most types of water damage. No paying extra. To learn more about water damage insurance, review the information provided below.
Does home insurance cover water damage? |
Most home insurance policies do provide some coverage for damage caused by water. However, it’s probably one of the most confusing coverages in any policy. And, the type and amount of coverage provided varies widely by provider. If you have a comprehensive policy, which protects against all loss types except those specifically excluded, you might think you’re covered. That’s likely not the case. Most providers specifically exclude damage resulting from water. Some providers add limited water damage protection back in to the base policy. Other providers make you specifically add and pay for water damage protection. Please note that insurance for damage caused by coastal flood, ground water, rising water tables, waves, tidal waves, or tsunamis is not widely available in North America. As a result, the government has financial assistance programs in place. It’s also worth noting that some providers do no cover damage caused by inland flood. At Square One, our comprehensive home insurance policy automatically includes protection against most types of water damage with very few exclusions. These exclusions are clearly listed under our water damage exclusions section. If you’d like, please use the button below to download sample policy wordings and review the water damage exclusions. Download sample policy wordings |
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What does water damage insurance cover? |
In a traditional policy, coverage is provided for damage caused by:
Often water backup is included, but with many providers you must specifically add and pay for this coverage. Even if water backup is covered, it may only cover the backing up of a sewer drain located inside your home. For example, there may be no coverage for damage resulting from an external drain that clogs and backs up, causing water to enter under your door. As mentioned earlier, home insurance policies in North America generally do not cover damage resulting from coastal floods, rising waters, tidal waves or tsunamis. Among other things, most policies also exclude damage caused by gradual, continuous or repeated seepage or leakage of water over a period of time. And, most policies will also exclude damage resulting from freezing and bursting pipes if you are away from your home during the usual heating season for more than 4 days (7 days at Square One) unless you:
Water damage may not be covered at all if you have a rental, vacant or vacation property. Many providers have also introduced sub-limits for damage resulting from water backups. This makes it even more important to read your policy carefully, or speak to your insurance provider, to make sure you have the broadest protection available. Square One automatically includes protection against most types of water damage, including water backup, up to the limits selected, in virtually all of its home insurance policies. |
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How much does water damage insurance cost? |
Depending on your home insurance provider, water damage insurance may be included in the base policy. Or you may need to specifically add and pay for water and water backup damage protection. If your provider requires you to add this protection, it may cost anywhere from $10 to $250 (or more) a year to get the broadest protection available. Virtually all home insurance policies offered by Square One automatically include protection against most types of water damage, including water backup. No paying extra. |
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What is the deductible for water damage? |
The deductible for water damage will most likely be the same as your standard policy deductible, which typically ranges from $500 to $5,000. |
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Don't just take our word for it. Here are some of the reviews that contribute to our average rating of 4.7 stars out of 5. Want to read more? Visit our reviews page.
I had the unfortunate experience of navigating a flood shortly after moving into our new apartment. It's supposed to be a pain in the rear to go through the claims process. It's confusing, it even feels a bit embarrassing—but the team at Square One (and their partners) were incredible to deal with. They made a really bad situation good(-ish). Super responsive, sympathetic to what happened, treated me like a human. I'm a customer for life ... if only they offered more than just property insurance!
The people I dealt with were polite, understandable, and especially patient and clear in explaining options or choices. They were never pushy, patronizing or arrogant. It was a pleasure.
I literally set up new rental insurance at my new place in less than 10 minutes online. The questioning was easy, thorough and concise. I had my new policy by email just a minute after completing it online. Pricing was very fair with yearly and monthly payment options. Highly recommend!
Had 7 minutes to get this done while riding the SkyTrain home and got it completed as I rolled into my stop. Kudos!
I called to transition my policy to another type. I was worried it would be complex and time-consuming. Instead, it was easy peasy, smooth, and everything was reviewed with me and all my questions answered. I'm always so impressed by Square One!
I asked quotes from a variety of providers, and after going through reviews and coverages, I'm glad I chose Square One. Whereas other companies automatically add coverage for things you might not need (jewellery, sporting equipment, etc.), Square One allows you to decide what you want covered and just how much you want the coverage and deductible to be. I'm feeling extremely comfortable moving into my new place with this policy... although I sure hope I never need to use it!
This is my first insurance policy purchase and it was super easy! I felt like everything was explained clearly and I understand my policy completely. And best of all, it took less than 10 minutes on my laptop to do!
Such a painless process. Transparent and easy to follow along. I love picking and choosing the coverages that I want and seeing my payments adjust accordingly, instead of an agent telling me what insurance coverages I have and what I will be paying. I highly recommend Square One. My rate actually dropped from what I paid last year! Amazing.
After struggling with several brokers and insurance providers over the phone to get a reasonably-priced quote, I decided to give this one a try. Quick, easy, and very reasonable prices. No phone, just a simple form filled out online and a standard online payment. Proof of insurance ready immediately. All insurance should be this simple.
I love how you can customize your coverage! We didn't need some of the insanely high coverage that other insurance companies provide solely based on the home value. This allowed us to reduce our annual insurance costs by $350 and we now have the coverage we actually desire!