Pipe Down: A Homeowner’s Guide to Burst Pipe Insurance Claims

Most standard homeowner insurance plans will cover damage from a burst pipe as long as it was caused by a covered event, such as mechanical failure, freezing temperatures, vandalism, or one of the other 16 named covered perils in a standard policy. [1]

However, there are exceptions. For example, your policy may not protect you if the leak was slow and left uncorrected. Broken pipes from triggers such as earthquakes may also be excluded. 

It’s always important to review your policy to determine whether your coverage is adequate and if you need to supplement.

Answers to Key Questions

Some questions people often ask about homeowners insurance and burst pipes include: 

How Does Insurance Handle a Burst Pipe?

Insurance companies assess how a problem started before they make decisions about what is and isn’t covered. Plenty of things can cause a burst pipe. Some are included within a standard policy, and others require special products. 

The following chart can help you understand how burst pipe claims are characteristically handled. However, your insurance may be slightly different. 

	Standard Insurance	Earthquake Insurance	Endorsements
Sudden pipe burst	X
Frozen pipe bursts	X		X
Vandalism	X
Weight of ice, snow, and sleet	X
Earthquake breaks pipes		X	X
Mudflows break pipes		X	X
Floodwaters break pipes			X
Mold forms after a broken pipe	X (if the pipe burst due to a covered event)		X

Issues Typically Covered Under a Standard Policy 

A standard homeowners insurance plan covers 16 incidents — or perils — that could harm your home and possessions.[1] Several of them could cause a burst pipe, including:

• Sudden pipe breaks: When a pipe inside your home cracks abruptly and spills water into your home, your insurance will cover it. 
• Freezing pipes: If the temperature drops and your pipes freeze, despite your best efforts to keep them warm, it will be covered by your insurance. 
• Vandalism: When someone breaks into your home and causes damage leading to broken pipes, your homeowners insurance will cover it. 
• Heavy snow or ice: If a major storm dumps so much precipitation that it forces your ceiling to collapse and your pipes to break, that damage is covered.

Read your policy carefully to understand the perils your policy can protect you from. You may have more robust coverage than you thought. 

Issues Handled by Special Policies

While a standard homeowners policy can protect you from several broken pipe triggers, others require special products. Several options are available, including the following:

• Earthquake insurance: Dramatic earth movement can shift your pipes and cause breaks. Earthquake insurance covers this type of damage, along with other issues shaking ground can cause.[2] 
• Endorsements: An endorsement is a rider that adds coverage for things your plan typically excludes.[3] Endorsements can be used for events such as earthquakes or mudflows, which can cause cracked pipes. You might also use an endorsement to increase your monetary compensation after a covered event. 

What Does My Homeowners Insurance Cover?

Every insurance plan is different, but most split their coverage into categories. Insurance coverage typically extends to the following issues:[4]

• Structure: The broken pipe and any wall and/or floor damage are covered. 
• Personal belongings: Your furniture, electronics, clothing, and other ruined items are covered. Most policies provide protection at 50% to 70% of the amount you’ve chosen for your structure.
• Alternate living expenses: If the broken pipe forces you to live elsewhere, your policy can pay for some expenses, such as rent and associated costs. 

Read your policy carefully to determine how much protection you’ve purchased. A stingy plan may not give you a large enough payout to help you recover.

What Issues Aren’t Covered by Insurance?

Some burst pipe problems aren’t part of any homeowners insurance policy. Companies consider these issues your responsibility, and they won’t help you recover from them.[5]

Maintenance is one such issue. Your insurance company expects you’ll keep your home in good working order and fix problems when they appear. If you rarely look for leaks inside your home or don’t tackle them when they crop up, your insurance company could deny any associated claim. 

Frozen pipes can also be tricky claims. Insurance companies may require customers to keep their homes at a specific temperature to keep items from freezing. Your claim could be denied if you consistently set the thermostat too low. 

Your insurance company may also require good caretaking procedures, even when you’re on vacation. If your pipes burst while you were away from home for several weeks, and you didn’t hire someone to check on your home while you were out, your claim could be denied.

How to File a Burst Pipe Claim 

A burst pipe can cause catastrophic damage. Filing a claim can help you recover, but there are steps you need to take to avoid common mistakes. 

Here’s what to do when a pipe bursts:

1. Take pictures and videos immediately: Your insurance company will require proof that the damage was sudden and out of your control. Taking photos and videos of the problem as it happens is an excellent way to demonstrate exactly what occurred. However, this should be done only if it’s safe to do so.
2. Prevent further damage: Turn off water at the street level. While you don’t need to worry about trying to fix the pipe immediately, you do need to take steps to stop the water from continuing to flood your home and possessions. 
3. Contact your insurance agent: Explain that a pipe burst inside your home, and you need help to recover. Ask for advice on immediate next steps.
4. Attempt a cleanup: To prevent mold growth, mop up the water and use dehumidifiers and fans to dry out the air. Wash wet items, if possible. Don’t throw anything away. 
5. Allow an inspection: Your insurance company will send an adjuster to assess the damage and offer appropriate compensation. Be present for that visit. 

For a comprehensive overview of the insurance claims process, refer to our article [link] Understanding Home Insurance Claims.

At the end of a successful claim, your insurance company will offer a payout in accordance with your policy limits. These fees can help you repair or replace anything that was damaged in the incident. 

How to Hire a Good Contractor 

If the burst pipe causes intense damage, you may need a contractor to make your home safe and sound again. While these professionals can offer critical help, hiring them can be a delicate process. 

The Federal Department of Emergency Management (FEMA) recommends interviewing at least two contractors before hiring anyone to work on your home. Follow these tips from FEMA when assessing each potential partner:[6]

• Verify their license and insurance information.
• Ask for a written estimate that includes materials to be used, projected schedule, and estimated final cost. 
• Contact references and ensure customers are satisfied. 
• Compare all aspects of the contractor’s proposal, not just the fee. 

Protect Your Home From Burst Pipes 

Review your homeowners insurance policy regularly. Ensure that you’re fully protected from water damage inside your home, and if you’re not, look into additional coverage. Your insurance agent would be happy to discuss your options and help you make a smart decision. 

In the interim, ensure you protect your home from damaging water. Never turn the heat off in winter, and be vigilant for leaks or loose pipes.