Does Condo Insurance Cover Water Leaks

Find out whether your water damage claims are covered.

Did you know water damages to your condo are as crucial to any other insurance claim you've suffered? As the most common cause of home insurance claims, about one in fifty houses will file a water damage claim each year. Not all water leaks are covered, though, so it's crucial to understand the different policies that work together to cover water damages. There are two types of policies:
• Homeowner's association, commonly known as the master policy, covers the 'common elements in a building. These include the building's infrastructure and pathways and framing, plumbing, wiring, and built-in fixtures of the apartment.
• On the other hand, you can claim condo insurance if an accident occurs to any apartment upgrades, such as floorings and kitchen cabinets. The same policies apply to townhouses too. In case of any water damage, inform your property manager and your insurer to resolve the issue immediately.

Types of Damages Covered Under Condo Insurance

Damages and losses caused due to sudden events, such as a broken washing machine or dishwasher, are typically covered under condo insurance. For instance, if your house is adequately heated and the pipe bursts, condo insurance covers this accident. Damages caused by sprinklers or hoses used to subdue the fire are also covered. However, the insurance policy doesn't cover any losses caused due to negligence. If you live in a building, you're prone to other sources of water damage. This includes the most commonly asked question, does condo insurance cover water leaks from other units? Water damages beginning in another unit spread through 'common areas' (roof of the building); hence, it's covered. In this case, you must file a claim since this allows your insurance company to reimburse you for repairs and recover payments from your neighbor's insurer.
does condo insurance cover water leaks

Types of Damages Not Covered Under Condo Insurance Types of Damages Covered Under Condo Insurance

Insurance policies are formed to cover for the repairs and damages caused to your property; however, they come with some limitations. Water damages caused by lack of maintenance aren't covered, such as neglecting plumbing and wiring around the house. Therefore, these expenses fall under the owner's responsibility. While some people are confused regarding the source of water damage, the policy clearly states that the source of water damage will not be replaced or repaired. This means if your floor is damaged due to a broken washing machine, only the floor repair is insured, unlike the washing machine's expense. Water damages caused by a natural calamity and damages caused by water entering your house through an outside sewer or drain aren't covered under condo insurance. However, the losses can be covered by purchasing additional policies for each.

does condo insurance cover water damage to other units

Avoid Rejected Claims

Every year, 24% of filed claims are due to water damages. Hence, it is crucial to protect your property from any damages. To ensure the insurance company doesn't deny any of your filed claims, make sure you do an initial inspection for record-keeping. You should schedule house inspections regularly, preferably every Summer and Fall. It would be best if you also drained the water heater twice a year to prevent sediment buildup, and, for frozen pipes, insulate the pipes and set them at a temperature of 50 degrees during winters to avoid any surprises. However, the primary key to preventing any claim from being denied is understanding the insurance policies required in the house and their due limitations. Having a comprehensive understanding of the entire process can ensure you're prepared and prevent any unforeseen circumstances.