When you have a business or home that’s been the victim of major water damage, you’re entitled to some compensation if you have insurance. However, filing a claim isn’t as simple as you might think. Different insurance policies handle water damage differently because it can come in all different shapes and sizes. Most common water damage, such as damage from burst pipes and leaks, usually merits coverage. But what about flood damage? For many insurance companies, there are some key differences between water and flood damage, so read on to understand these differences before filing your insurance claim.
The phrase water damage can seem incredibly broad, but it mostly refers to damage from a plumbing issue or a water leak. Burst pipes are one common culprit of water damage in homes or businesses, as are leaky appliances and overflowing sinks. Another common form of water damage is from heavy rain or a natural disaster. The water itself is dangerous, but if you don’t address it, you’ll also find secondary forms of damage in mold, rotted wood, and harm to your building’s foundation.
While water damage can be destructive, it still has a relatively minimal impact compared with flood damage. Flood damage is generally classified as such when an external source of water covers an area of about 2 acres or more, or it affects multiple properties. Many homeowner insurance policies fail to cover flood damage, but if you live in a flood zone, you should research your options.
The Risk Factors
While just about everyone is at equal risk of water damage, excluding factors such as preventative maintenance, the risk of flood damage is not equal for everyone. Properties in low-lying regions or food planes or near rivers and lakes are much more susceptible to flood damage.
Additionally, if someone’s property is more susceptible to flood damage, they’re also more likely to pay a higher insurance premium to protect from this damage. As mentioned already, some insurance policies don’t cover flood damage, so if you live in an area where you’re potentially in harm’s way, you’ll want to get adequate coverage.
Understanding the difference between water and flood damage is key to understanding your own insurance policy and filing the claims you’re entitled to. It’s still a difficult process, but if you’re in need of some help, let AmeriClaims water damage public adjusters help. With our expertise, we guide you through the insurance claims process and get you the fair insurance payout you deserve.