Water damage insurance community

If there is a break experienced in pipes serving a community, an insurer will be responsible (should it be the fault of an element which is common) for the cost of damage caused by water. Therefore, water damage experienced in private establishments (commercial or residential properties) is covered also.

This is an area of insurance community used most often, especially in old communities and buildings, as this type of accident happens on a more common basis. In order to try and reduce the cost of insurance premiums, sometimes a franchise can be entered into which means that the person holding the insurance will be required to pay towards the costs as part of the claim. Often, the cover will analyze the contract that is safest to the community based on what is most important.

So, what should be considered when assessing a claim for water damage?

The majority of insurers will cover the costs involved in assessing and repairing the pipeline, as well as dealing with any water damage caused.

Some companies will write limitations into their policies, whilst others may provide 100% coverage against what may occur. It is advisable to find out if a franchise exists, or could be arranged on an amount that is fixed, or to an agreed percent amount.

Always ensure that you understand and have read any conditions that apply to the policy, and confirm the definition of “community lines” as recognised by your insurance company. This will enable you to understand the full details of the cover, since companies may not cover the full length of the pipeline within the community (only covering up to the point where the pipe joins the community line) whilst others may cover all the way along to an inside faucet.

Of course, damage may be caused by frost, clogged or blocked pipes, or damage caused by resulting leaks. Again, you must check if this sort of accident is covered by the water damage cause in a policy. The conditions applied to cover vary and there may be cases where limitations are put on what is covered.