What is and isn’t covered under your homeowners insurance depends on your type of policy. It’s important to know what isn’t covered so you can add supplemental insurance or find other ways to cover potential losses. Here are nine common exclusions:
1. Flood and sewer-system issues
Your home insurance policy typically covers certain types of water damages, such as that caused by a burst pipe. However, flooding is generally excluded as are certain overflow and sewage issues. You may want to consider flood insurance and water backup coverage.
2. Neglect and poor maintenance
The insurance company expects you to properly maintain your home; it provides coverage for accidental and unavoidable incidents. If there is damage due to your negligence, such as not maintaining a roof, you’ll probably be on the hook.
3. Earth movement
Earthquakes, mudslides, landslides, and sinkholes are not usually covered by a basic homeowner’s policy, but you can obtain additional coverage.
In many cases mold damage is not covered, particularly when it develops over time from a long-term leak or poor maintenance. When related to a sudden, unexpected leak, coverage may be possible. It’s tricky – best to discuss with your agent.
5. Vacant and unoccupied property
Vacant or unoccupied homes are at greater risk of vandalism, fire, burst pipes, and weather-related perils. If the home will be vacant or unoccupied for more than 60 consecutive days, discuss your options with us.
Damage from bed bugs, termites, rats and other vermin is typically not covered.
7. War and nuclear hazards
Acts of terrorism, war (declared or undeclared), and nuclear accidents are not covered.
8. Small business losses
If homeowners insurance provides coverage for business property at your home, it’s usually minimal. You may need to increase your coverage or have a small business insurance policy.
Insurance companies are looking askance at covering injuries related to trampolines and high-risk dog breeds.