Are you worried that your insurance policy won’t cover an important issue at your house?
Before getting your insurance you might wonder what isn’t covered by homeowners insurance. Any policy can have limits and exclusions so it’s best to know what they are in advance.
Not sure what is not covered by homeowners insurance? Read on to know more.
Flooding
One of the most common natural disasters in the US is flooding. It’s also one of the most common types of damage not covered by homeowners insurance.
That’s because most standard home insurance policies exclude damage caused by “surface water”. This includes water that rises from the ground, as well as water that comes down from the sky, like rain or hail. If your home suffered damage from a flash flood or a river overflow, don’t expect your insurance policy to help foot the repair bill.
But, there is a type of insurance called flood insurance that covers flood damage. But it’s not required by law, and it can be expensive.
A policy for a home with an average risk of flooding might cost about $700 per year, according to the Federal Emergency Management Agency. And a policy for a home in a high-risk area might cost more than $2,000 per year.
Earthquakes, Landslides, and Other Ground Movements
Several damages are not covered by homeowners insurance. Among those are earthquakes and landslides.
If you live in an area that is prone to earthquakes or landslides, you will need to buy separate insurance to cover those risks. Some mortgage companies need this type of insurance if you live in a high-risk area.
Even if your mortgage company does not need it, it is still a good idea to get this type of insurance. This is to protect your home and belongings.
Termites, Rats, and Other Infestations
Homeowners’ insurance does not cover damage caused by termites, rats, or other infestations. Some homeowners are not aware of this. These pests can cause extensive damage to a home, and the repair costs can be significant.
If you discover that you have an infestation, you will likely need to pay for the repairs yourself. There are a few things you can do to try to prevent these pests from damaging your home. What’s important is to be aware that they are not covered by your insurance policy.
Molds
Mold is not covered by homeowners insurance policies in the United States. This is because mold is a preventable condition. This means that it is the responsibility of the homeowner to prevent it.
There are a few exceptions to this rule. This can be the case if the mold is the result of a covered event such as a burst pipe. But in general, mold is not something under the homeowners’ insurance coverage.
Aggressive or Dangerous Dogs
Some insurance companies will not cover damages caused by aggressive or dangerous dogs. This is because these dogs are more likely to cause injuries to people or other animals.
If you have an aggressive or dangerous dog, you may want to consider buying a separate insurance policy. This separate policy will cover any damages that your dog may cause in the future. Be sure to keep this in mind when buying home insurance.
Poor Maintenance or Neglect
A home is one of the biggest investments most people will make in their lifetime. So it’s important to protect that investment with homeowners insurance. Keep in mind though that insurance is not a maintenance plan or a warranty.
It’s there to protect you financially in the case of a covered event. Examples of these events are fire and theft.
That means that if poor maintenance or neglect leads to damage or loss, your policy will not cover it. You’ll be responsible for the repairs or replacement costs.
So, it’s important to keep up with regular maintenance and address any problems as soon as they arise. That way, you can avoid any potential financial burden if something unexpected happens.
Power Surges and Outages
A power surge is a sudden increase in electricity flowing through a circuit. A power outage is a complete loss of power. Both can be because of lightning strikes, downed power lines, or problems at a power plant.
Surges and outages are not covered by homeowners insurance. This is because they are not considered to be “accidents.”
Instead, insurance companies consider them to be “acts of God” or “acts of nature.” This means that homeowners are responsible for any damage that occurs as a result of a power surge or outage.
Intentional Damage
Intentional damage is not covered by homeowners insurance. This means that if you deliberately damage your home, your insurance company will not pay for the repairs.
In some cases, intentional damage may void your entire policy. If there is proof that you intentionally damaged your home, you may be liable for the cost of repairs. You may also be liable for any legal fees and other charges.
Nuclear Hazards
A home is not a nuclear hazard, but it could be if it were to experience a nuclear accident. Homeowners’ insurance does not cover nuclear hazards. So if your home were to experience a nuclear accident, you would be responsible for the damages.
This is why it is important to be aware of the potential hazards that come with living near a nuclear facility. If an accident were to happen, you could have a huge financial burden.
Government Action
Any damage that is the result of government action is also not covered. This includes damage from natural disasters declared disasters by the government. Some of these disasters include hurricanes, earthquakes, and tornadoes.
It also includes damage from man-made disasters caused by the government. Examples are riots, nuclear accidents, and war.
If you have damage to your home that is the result of government action, you will need to file a claim. You can do this at the government agencies responsible for the disaster.
Knowing What Is Not Covered by Homeowners Insurance
It is important to know what is not covered by homeowners insurance so that you can be prepared in the event of a disaster. Make sure to read your policy carefully and talk to your agent about any questions you have. Having the right coverage can make all the difference in a time of need.
If you found this article helpful, please check out some of the other great content on our site. We post insurance-related content daily so that you’re always up-to-date.