Standard
Sudden & Accidental Water Escape
Water that suddenly escapes from plumbing, heating, air conditioning or appliances inside your home.
Example: A burst pipe, a failed washing machine hose, or a hot water tank that ruptures.
Coverage Guide
Water Coverage Guide
Water damage is one of the most common home insurance claims in Ontario, and it's also one of the most misunderstood. Here's what a standard policy covers, what you need to add, and what isn't covered at all.
Types of water coverage
Each type of water damage is treated separately. Being covered for one doesn't mean you're covered for the others.
Optional
Sewer Backup
Water or sewage that backs up into your home through floor drains, toilets or sewer lines.
Example: Heavy rain overwhelms the municipal sewer and water comes up through your basement drain.
Optional
Overland Water (Flood)
Water that enters your home at or above ground level from rivers, lakes or heavy rainfall runoff.
Example: A nearby creek overflows, or a flash storm sends water through doors and basement windows.
Optional
Ground Water & Rising Water Table
Water that seeps up through foundation walls or basement floors. Available with some insurers.
Example: After a spring thaw, water pushes up through cracks in your basement slab.
Optional
Service Line Coverage
Repairs to the underground water, sewer and utility lines you own between your home and the street.
Example: Tree roots crack your water main and it has to be dug up and replaced.
Not Covered
Gradual Leaks, Seepage & Wear
Damage that happens slowly over time, or from lack of maintenance, is excluded on almost every policy.
Example: A slow drip under the sink that rots the cabinet over several months.
Reduce your risk
- Install a backwater valve. Many Ontario cities offer rebates, and some insurers give a discount.
- Test your sump pump each spring and think about adding a battery backup.
- Keep eavestroughs clear and downspouts pointed at least 2 m away from your foundation.
- Replace washing machine hoses every 5 years and check under sinks regularly.
- Shut off the water and drain the pipes if you'll be away during the winter.
- Don't store valuables or important papers directly on the basement floor.
If you have water damage
- Stop the water if it's safe. Turn off the main water valve and keep away from electrical panels.
- Take photos and video of the damage before you clean up.
- Move belongings to a dry area and start drying out the space to prevent mould.
- Keep receipts for emergency repairs, cleanup and temporary accommodation.
- Contact us or your insurer as soon as possible to start your claim.
Frequently asked questions
Is water damage covered on a standard home policy?
Only sudden and accidental water escape from plumbing or appliances is usually included. Sewer backup, overland water and ground water are normally optional add-ons, so you need to ask for them.
What's the difference between sewer backup and overland water?
Sewer backup is water that comes up through your drains from the sewer system. Overland water comes in from the outside, at or above ground level, such as from a flooded river or heavy rain. They are separate coverages, and you may want both.
Do condo owners and tenants need water coverage?
Yes. The condo corporation's master policy covers the building, but not your belongings, improvements or the deductible that can be charged back to you if a leak starts in your unit. Tenants also need coverage for their own belongings.
Are there limits on water coverage?
Optional water coverages often have their own limits and deductibles, separate from the rest of the policy. A broker can check that your limits are high enough to cover a finished basement.