By Denise Aronson
Denise Aronson, Vice President, Personal Lines
Most people confuse flood damage and water damage. They believe them to be one in the same, and conclude that both are covered under a homeowner?s policy.
Under a common homeowner?s policy, flood insurance is usually excluded as evidenced by the most recent Sandy Storm.
So what are the differences? Let?s start with a simple definition.
Flood insurance is defined as follows:
?Overflow of inland or tidal waters;
Unusual and rapid accumulation or runoff of surface waters;
Mudflows, caused by a flood related to a river of liquid and flowing mud on a surface of normally dry land areas.?
A flood is something that usually occurs from the outside of your home.
?Water Damage is defined as follows:
?Intrusion of water, usually from inside your home.?
The most common causes of Water Damage include:
- ?A burst pipe
- ?Leaks
- Rain that enters your home from either the roof or windows
How to protect yourself from water damage?
The installation of a water leak detection alarm. These alarms detect small amounts of moisture and water and alert you with the sound of an alarm. They are not expensive to purchase and are worth the cost to both give you peace of mind.
Further explanations and causes can be obtained by either reading your policy and its exclusions, or contacting your agent.
Disclaimer: The above content is a general overview which is provided for discussion purposes only and is not in any way meant as providing recommendations or legal counsel. It is not intended to apply to each circumstance. Because the facts and circumstances of every matter differ and the terms, conditions, exclusions and limitations contained in insurance policies vary, you should review your policy carefully and seek any legal counsel that may be necessary or appropriate.? Momentous is not responsible for any losses or damage resulting from reliance on the information contained herein.?
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