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Quick answer
Usually, when the water damage is sudden and accidental, such as a burst pipe or a broken washer hose. Washington's insurance commissioner says homeowner insurance usually covers sudden leaks but may not cover gradual leaks, such as water leaking from a faucet or a leaking foundation. [5] Flood is excluded and needs a separate policy, and sewer or drain backup usually needs an added endorsement. [12][6] Your own policy and deductible decide what you are paid, so check your policy and call your insurer before repairs start.
Do this first: protect the claim while you stop the water
Coverage often turns on two things you control today: how fast you report the damage and whether you kept it from getting worse.
Stop the water. Close the fixture valve or the main shutoff.
Check for electrical risk before you step in. If water is near outlets, cords or the panel, do not enter the water. Turn power off at the panel only if you can reach it from a dry spot; otherwise call the utility or an electrician.
Take photos and video before you move or throw anything out. The NAIC says to take photos and videos of the damage and make a list of all your damaged property for your adjuster. [1]
Call your insurer or agent and write down the claim number and the contact details for the assigned claim representative, as New Jersey's insurance department advises. [2]
Make temporary repairs only, and keep receipts. Texas says not to make permanent repairs until your insurance company sees the damage. [3]
Start drying. EPA says that if wet materials are dried within 24 to 48 hours of a leak, in most cases mold will not grow. [4]
Stop and call
If the water came from a sewer backup, a toilet with waste in it or outside floodwater, treat it as Category 3: wear gloves, boots and eye protection, and keep children and pets away. Stay out from under any ceiling that sags.
The water damage insurance claim tips page walks through the claim itself, from the first call to a dispute.
What homeowners insurance usually covers: sudden and accidental water
Insurers sort water damage by cause. Texas says most homeowner and renters policies cover sudden and accidental water damage, such as a burst pipe, toilet overflow or broken washer hose. [3] Washington says insurance usually covers burst pipes, including frozen pipes, if you heat your home properly, and that accidental leaks are usually covered if you report them quickly and follow the insurer's recommendations. [5]
The policy form matters. The Insurance Information Institute's chart marks accidental discharge or overflow of water from plumbing, heating, air conditioning, sprinklers or a household appliance as covered under HO-2, HO-3, HO-4 and HO-6 policies, but not under the basic HO-1 or HO-8 forms. [6] It calls the HO-3 the most common homeowners policy in the United States. [7] Your declarations page shows which form you have.
Tearing out a wall to reach the leak. In the sample HO-3 policy the Insurance Information Institute posts, an older Insurance Services Office form (HO 00 03 10 00), accidental discharge coverage includes the cost to tear out and replace any part of a building, but only when necessary to repair the system or appliance. The same form says it does not cover loss to the system or appliance the water escaped from, and that a plumbing system or household appliance does not include a sump, sump pump, roof drain, gutter or downspout. [8] That is a sample, and your policy may word it differently.
So the leaking part itself is usually yours to fix. NerdWallet's example: a properly maintained water heater that springs a leak would likely have the water damage covered, but not the repair or replacement of the heater unless you added equipment breakdown coverage. [9]
Is your water damage likely covered? A cause by cause guide
How coverage usually works by cause of water damage. Your policy decides.
Cause
Usually covered by homeowners insurance?
What regulators and the III say
Burst or frozen pipe
Usually yes
Washington: usually covered if you heat your home properly
Texas: sudden and accidental water damage is covered by most policies
Rain through a roof damaged by a storm
Usually yes
California: generally pays for rain through a hole caused by strong winds or another covered exposure
Ice dam pushing water behind the drywall
Usually yes
Wisconsin: seepage behind drywall from an ice dam would be covered
Slow leak under a sink or behind a wall
Usually no
Washington: gradual leaks, such as a leaking faucet, usually are not covered
Groundwater seeping through the foundation
No
III: seepage is excluded and viewed as a maintenance issue
Flood or overland water
No, needs a flood policy
FloodSmart: most homeowners policies do not cover flood damage
Sewer or drain backup, sump overflow
Usually no, unless you added an endorsement
III and Wisconsin: not covered by a typical policy; sold as an endorsement
Roof damage you did not fix promptly
May be denied
Washington: insurance will not cover water damage if you delay repairs
Table sources: Washington Office of the Insurance Commissioner, [5] Texas Department of Insurance, [3] California Department of Insurance, [10] Wisconsin Office of the Commissioner of Insurance, [11] Insurance Information Institute [7][6] and FloodSmart. [12] Wisconsin's rule of thumb sums it up: water from the top down is generally covered by a standard homeowners policy, and water from the bottom up is not. [11]
Slow leaks, maintenance and mold: where claims get denied
A 2018 Texas Department of Insurance report on Texas homeowners policies lists wear and tear or maintenance, and water damage from continuous and repeated leakage or seepage, among common exclusions. [13] The Insurance Information Institute says it is your responsibility to maintain your home, and that your policy will not cover damage due to lack of maintenance. [6]
Hidden leaks are a gray area. Texas says you usually must report water damage that was hidden from view within days after you first see it. [3] Report it the day you find it, with photos of the stain, the wet material and the failed part.
Mold follows the water. Washington says homeowner insurance usually does not cover mold unless it comes from water damage your insurance covers, and some insurers provide limited mold coverage. [5] Limits, testing and flood rules are covered on the homeowners insurance and mold page.
Flood and sewer backup: separate coverage you have to buy
Flood. FloodSmart says most homeowners and renters insurance does not cover flood damage. NFIP building policies cover up to $250,000 and contents policies up to $100,000, and the two are typically bought separately with separate deductibles. [12] Coverage starts 30 days after purchase, with four exceptions, such as buying it while making, increasing, extending or renewing a mortgage. [12] A FEMA fact sheet (May 2023) says just one inch of water can cause roughly $25,000 of damage to your property. [14] FloodSmart says the average for all NFIP claims between 2020 and 2024 was $82,614 (page accessed October 2026). [15]
Flood policies have gaps of their own. FloodSmart lists personal property kept in basements, and temporary housing and additional living expenses while your home is repaired, among things an NFIP policy does not protect. [12]
Sewer and drain backup. The Insurance Information Institute says sewer backups are not covered under a typical homeowners policy, nor by flood insurance, and that this coverage must be bought as a separate product or as an endorsement, usually at a nominal cost. [6] Wisconsin's insurance regulator says the same: neither homeowners insurance nor flood insurance covers sewer backup or sump pump overflow, and a special homeowners endorsement is required. [11] The NAIC also says you might be able to buy endorsements for sewer or drain backups and sump pump overflow. [16] FloodSmart, the NFIP's own site, draws the line by cause: it says a flood policy would cover water damage from a sewer that backed up during a heavy rainstorm, but not damage from a sewer backup caused by clogged pipes. [12] Because these sources differ on backups tied to flooding, ask your agent how your homeowners and flood policies treat each case.
What you may still pay out of pocket
Even a covered claim is not a full refund. These are the main pieces, with the source and date for each figure.
Costs that can fall on the homeowner, with source and date
Cost piece
What drives it
Figure (source, date)
Deductible
The amount on your declarations page, subtracted from the payment
$500 deductible on a $10,000 covered loss leaves a $9,500 check (Insurance Information Institute example)
Restoration bill
Water category, size of the wet area, how long it sat
Average $3,868, typical $1,383 to $6,369 (HomeAdvisor, June 2026)
Depreciation held back
Most companies pay the estimate minus depreciation and the deductible first, the rest after repairs, Texas says
Texas: the second check comes after the contractor's final bill, if repairs are completed within 365 days of the loss (Texas Department of Insurance)
Repair of the leaking part
The pipe, heater or appliance that failed
Not covered in the sample HO-3 form (ISO HO 00 03 10 00)
Uncovered causes
Gradual leaks, seepage, flood without a flood policy, backup without an endorsement
The full bill. For scale, water damage and freezing claims averaged $15,400 per claim in 2019 to 2023 (Insurance Information Institute, citing ISO data)
Table sources: Insurance Information Institute on deductibles [17] and claim size, [18] HomeAdvisor's June 2026 guide, [19] the Texas Department of Insurance [20] and the sample HO-3 form. [8] The full price breakdown is on the water damage restoration cost page.
Whether to file at all is a judgment call. The NAIC says that if the damage is minor you might decide you are better off paying out of pocket, and that it may make sense to file if repairs will cost more than your deductible or there is a lot of damage. [1]
How to check your own policy before you need it
Ten minutes with your declarations page and your agent can answer most of this before a leak. The Insurance Information Institute says your deductible is on the declarations (front) page of standard homeowners policies. [17]
Which form do I have (HO-3, HO-5, HO-6 or another), and does it cover accidental discharge of water?
What does my policy say about continuous or repeated leakage, and how quickly must I report hidden damage?
Do I have water backup coverage for sewers, drains and sump pumps, and what is its limit?
Is there a separate mold limit?
What is my additional living expense limit? Washington says this coverage is usually listed as Coverage D or loss of use, and that it may be capped by a dollar amount, a time limit or both: the dollar amount is usually 20 to 30 percent of dwelling coverage and the time limit usually 12 to 24 months. [21] Other regulators give lower typical figures: the NAIC's consumer guide lists 20 percent of the dwelling limit, and the 2018 Texas report says typically 10 to 20 percent. [16][13]
Do I need flood insurance, given the 30-day waiting period? [12]
Safe to do yourself
A small clean-water drip caught early, like a supply line under a sink, can often be dried with towels, a wet vacuum, fans and a dehumidifier. EPA says to keep indoor humidity below 60 percent, ideally 30 to 50 percent. [4] A small job may cost less than your deductible.
Materials still wet after two days, water inside a wall or ceiling, or any sewage changes that. Massachusetts guidance for clean-water damage says to cut out and discard wallboard that has not been sufficiently dried within 48 hours. [22]
Common questions
Does homeowners insurance cover water damage from a slow leak?
Usually not. Washington's insurance commissioner says homeowner insurance usually does not cover gradual leaks, such as water leaking from a faucet or a leaking foundation. [5] A 2018 Texas report lists continuous and repeated leakage or seepage as a common exclusion. [13] Check your policy's wording.
Does homeowners insurance cover a leaking water heater?
Often the water damage is covered if the heater was maintained and failed suddenly, but not the heater itself. The sample HO-3 form excludes loss to the appliance the water escaped from. [8] NerdWallet notes equipment breakdown coverage can add the unit. [9]
Does homeowners insurance cover basement flooding?
Not when the water is flood or groundwater. The Insurance Information Institute says seepage into a basement from the ground is excluded under the HO-3, [7] and flood needs a separate policy. A burst pipe in the basement is a different case and is usually covered. [5] NFIP basement coverage is limited. [15]
Does homeowners insurance cover sewer backup?
Not under a typical policy, says the Insurance Information Institute; it is sold as an endorsement, usually at a nominal cost. [6] The Institute and Wisconsin's regulator say flood insurance does not cover it either, [11] while FloodSmart says a flood policy would cover damage from a sewer that backed up during a heavy rainstorm, but not a backup caused by clogged pipes. [12] Ask your agent how your policies treat it.
Will insurance pay to open a wall to find the leak?
Often, if the leak is covered. In the sample HO-3 form, accidental discharge coverage includes tearing out and replacing part of the building when necessary to repair the system or appliance. [8] Your policy's wording may differ, so ask your adjuster before the wall is opened.
Does homeowners insurance cover water damage from a roof leak?
Usually when strong winds or another covered event made the opening. California says policies generally pay for rain coming through a hole caused by strong winds or another covered peril. [10] Washington says insurance will not cover water damage if you delay roof repairs. [5]
