The Most Common Uncovered Homeowners Claim Isn’t Flooding
Most homeowners know that flood damage is excluded from a standard homeowners insurance policy. However, one of the most common and costly claims we see that is not automatically covered is water backup from sewers, drains, or sump pumps.
Unfortunately, many homeowners only learn about this coverage gap after they’ve suffered thousands of dollars in damage.
What Is Water Backup?
Water backup occurs when:
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A sewer line becomes blocked.
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Heavy rain overwhelms municipal sewer systems.
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A sump pump fails during a storm.
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Water backs up through floor drains, toilets, or sinks.
Unlike flood water entering through doors, windows, or rising water outside the home, these losses originate from drainage systems and plumbing pathways. While homeowners often assume they are covered, many standard homeowners policies exclude these losses unless a special endorsement has been added.
Why These Claims Are So Expensive
Water backup losses often affect the area of the home where families store their most valuable belongings: the basement.
A single backup can damage:
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Finished basements
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Flooring and carpeting
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Furniture
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Home offices
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Electronics
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Appliances
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Children’s play areas
It is not uncommon for a water backup claim to exceed $10,000, $20,000, or even more when cleanup, demolition, and reconstruction are required.
Long Island Homeowners Face Greater Risk
For many Long Island homeowners, finished basements have become an extension of the living space. Families use these areas as:
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Family rooms
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Home theaters
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Guest rooms
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Offices
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Storage areas
When a sewer backup occurs, both structural damage and personal property losses can be significant.
In addition, severe rain events have become more common, placing increased stress on storm drainage systems and sump pumps.
Other Common Uncovered Claims
In addition to water backup, homeowners are often surprised to learn that standard policies may not cover:
Wear and Tear — Insurance covers sudden and accidental losses, not maintenance issues. Examples include aging roofs, deteriorated plumbing, rotting wood, and gradual leaks.
Mold — Many mold claims are either excluded or subject to limited coverage, particularly when mold results from long-term moisture issues.
Termites and Pest Damage — Damage caused by termites, rodents, insects, or other pests is generally considered a maintenance issue and is not covered.
Earth Movement — Most homeowners policies exclude earthquakes, sinkholes, landslides, and foundation settling.
How to Protect Yourself
The good news is that water backup coverage is often available through an endorsement added to your homeowners policy.
The cost is typically modest when compared to the financial impact of a major loss.
Every homeowner should review:
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Water Backup Coverage
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Service Line Coverage
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Flood Insurance
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Personal Property Limits
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Replacement Cost Coverage
to ensure they are adequately protected.
The Bottom Line
Flooding may be the most well-known homeowners insurance exclusion, but water backup from sewers, drains, and sump pumps is often the most common uncovered claim we encounter. A small endorsement added before a loss occurs can mean the difference between a covered claim and a costly out-of-pocket expense. Before the next storm arrives, take a few minutes to review your policy and make sure you understand what is and is not covered.
If you would like a coverage review, contact Brewster Allen Wichert Insurance. We can help identify potential coverage gaps before they become expensive surprises.
