The Homeowners Insurance Water Damage Restoration Insurance Process
Do you know that water damage is the number one cause of home insurance claims? Even if you take the right steps, water damage is often inevitable and can take many forms: water infiltration, sewer backup, a ruptured hose, etc. However, the right insurance and knowledge about who pays the insurance in such cases can save you a lot of money.
Here’s our explanation of water damage insurance, what it covers and who pays for it!
Water Damage Restoration Insurance: What Home Insurance Covers
Before determining who pays what for water damage, it is essential to decide what home insurance covers. This insurance includes water damage cover. As a reminder, taking out coverage is an obligation if you are the tenant of your home or the owner of a co-owned lot.
From there, it all depends on the situation:
- The water damage takes place in your home and does not affect anyone else (whether you are responsible or not)
- The water damage occurs in your home and affects one or more neighboring apartments
- The water damage originates with a neighbor or in a common area and affects your home
In the first two cases, your home insurance covers the damage and any repairs (water damage guarantee, civil liability guarantee). The other case will be the subject of a dedicated section. In short, to know who pays in the event of water damage, it is essential to determine the origin of the problem.
But beware of warranty exclusions: your insurance may not compensate you if you are directly responsible for the claim.
Water Damage Insurance: Who Pays for Water Damage?
Imagine that a water leak occurs in your home. Depending on whether you are an owner or a tenant, the handling of the claim is not the same.
The answer to the question of who pays for water damage varies depending on the status of the occupier.
Owner, you must report the claim to your insurer within five working days.
In the event of tenant water damage, you must inform the owner of the situation and declare the loss to your insurer within the same period. Your home insurance will cover any compensation unless the problem is rooted in the obsolescence of the equipment, poor workmanship, a construction defect, etc. In other words, if the flood was caused by faulty plumbing, it is up to the owner to take care of the repairs.
Therefore, the rule is clear: for water damage, the person who pays is responsible, even indirectly, for the loss. If the problem comes from the installations and the water has damaged your personal property, the lessor must compensate you. On the other hand, if the problem is because you have not maintained equipment, the repairs will be your responsibility.
Water damage: Who Pays According to Liability?
Let’s come back to the question of who is responsible for the water damage when the water leaks affect other homes than yours or when you are the affected party of a leak from elsewhere.
- Your tap remained open, and the water ended up overflowing, causing damage to the neighbor downstairs. You are responsible in the event of flooding at your neighbor’s: it is, therefore, your insurance that covers the loss via your civil liability guarantee. You must establish an amicable report of water damage.
- Your apartment is flooded because of a water leak from the neighbor upstairs. You are the victim: therefore, the neighbor’s home insurance covers the claim, regardless of whether they are responsible or not. Again, you must establish a water damage report with them.
- Your apartment is affected by a leak from the common areas: the co-ownership insurance covers the damage. It has an obligation to take out home insurance in its name to compensate the affected party in this type of situation.
In all cases, a declaration must be made to the insurance within five working days.
Water Damage Restoration Insurance: Uninsured Neighbor
The establishment of a statement of water damage is essential in the context of a declaration of loss. But things don’t always turn out that simple. What happens in water damage caused by an uncooperative or even uninsured neighbor?
- If your responsible neighbor is not accommodating, you must inform your insurer yourself and send your neighbor a registered letter with acknowledgment of receipt mentioning the incident and the damage suffered in your accommodation. This letter must give them formal notice to contact their insurance. If nothing is done afterward, you will have to take the matter to court.
- If your neighbor responsible for the water damage is uninsured, you must notify your insurer. In any event, the fact that your neighbor is insured or not has few consequences for you as a victim: the procedure is, however, longer. You will be compensated by it, which will turn against the person responsible.
It is always the person responsible for the water damage who pays, even if they are uninsured.
Water Damage Restoration Insurance: Expertise, Compensation and Deductible
Water damage must be the subject of a declaration of loss of water infiltration, whether you are responsible or not, to allow your insurer to initiate the procedure
This declaration must be made within five working days of becoming aware of the leak or damage. Finally, as far as the franchise is concerned, it all depends on the situation:
- If water damage occurs in your home, you will have to cover the deductible provided in your insurance contract.
- If the water damage comes from another lot and your home is affected, you will not have to pay a deductible. Otherwise, you can then request reimbursement of this deductible from the insurer of the person responsible.
Water Damage Restoration Service Near You!
If you’re a property owner in Orlando and looking for a water damage restoration service near you, contact 911 Restoration of Orlando. The 911 Restoration of Orlando team has certified and trained professionals who can rebuild and restore your property and file your insurance claim for the water damage. The professionals will do their work and direct billing to your insurance company. Call (321) 209-6388 or visit their website for more information!