Is water leakage and flood damage covered by homeowner’s insurance?

Water damage claims are the second largest home insurance claim only behind wind and hail damage. Water leakage and flooding, even if a little, can be devastating and cause problems both short-term and long-term. A good idea is to review your policies and learn if you are covered in the event of unwanted water.

Flooding and water damage can happen in many ways such as: 

• Sudden or Accidental Discharge

• Sewer backup or water backup

• Overflow

• Flood

• Storm Related Water Damage

Now the real question is: If any of this happened, will your house be covered?

Sudden or Accidental Discharge

It covers damage to items due to water damage if the incoming water is from sudden or accidental leaks such as a pipe bursting.

It does not cover the lack of maintenance. For example, if you have a leaking toilet or washing machine that you never get serviced and the water leaks into the floor or other areas causing damage.

Sewer backup or water backup

Typically, not covered and sewer backup insurance is not automatically included in most standard homeowner policies. You must add it to your policy by endorsement to make sure you're adequately protected. 

Overflow

If a toilet, tub, sink overflows or a dishwasher explodes. The damage to those items, as well as the water damage to home furnishings, would be covered by the homeowner’s policy but only if the overflow is caused by sudden or accidental change.

Flood

Flood damage of any kind is not covered by your homeowner’s insurance policy. Separate flood insurance can be purchased and if you live in an area where that may be a concern you will want to talk to your agent about adding it.

Storm Related Water Damage

Homeowners insurance may help cover certain causes of storm damage, including wind, hail, and lightning but homeowners insurance does not cover flood damage, whether it's caused by a rainstorm or overflowing river. 

Water damage of any kind can be very confusing in terms of what is it isn’t covered by your insurance. Be sure to review your options with your agent on a regular basis so you aren’t caught off guard in the event of leaks and floods. If you are looking for home insurance or any water-related insurance, give us a call! 614-863-0455 or email info@arnoldinsuranceagency.com

What is Life Insurance?

Purchasing life insurance can be confusing and may not seem worth the hassle and price you pay.  However, most people overestimate the price of life insurance by 2 to 3 times what it will actually cost you.  But the question always remains, “What type of life insurance is right for me?”  Below is a brief description of the 3 most commons types of life insurance that will hopefully give you an introduction to the life-long protection life insurance provides.

Life insurance is a contract between an insurance company and you whereupon death they are obligated to provide a payment to your beneficiary in the form of a tax-free lump sum for the amount detailed by the plan you purchase.

There are many different types of life insurance but there are three mains ones everyone should be familiar with:

• Term Life Insurance

• Universal Life Insurance

• Whole Life Insurance

Term Life Insurance

This plan is designed to provide financial protection over a set period.  It tends to be less expensive and the premium payments stay the same over the course of the plan whether it’s 10 years, 20 years, etc.  The benefit is in that in the case of loss of income, financial burdens, etc., a term life plan can help save money while still providing protection.

Universal Life Insurance

A type of long-term, permanent life insurance, a universal life insurance plan is designed to provide last indefinitely and is open to a change in premium rates and the coverage amount.  However, due to its lifetime coverage, it carries a higher premium price.

Whole Life Insurance

Another type of permanent life insurance, whole life insurance differs from universal because it provides a consistent premium to be met and is protection for the individual until the time of death or the age of 100 when the lump-sum payment is paid directly as an endowment.

There are so many different types of life insurance that it is easy to get confused and become unsure of which type is right for you.  If you ever have questions and need help making the right decision on any personal insurance needs, give us a call at 614-463-0455.