Insurance can be an overwhelming topic to many, yet it is one way to prepare for a future emergency. Many times we setup our insurance policy for our present situations, and we fail to add additional coverage when we probably should as the years progress. Other times we misunderstand what the terms mean, and we are not as covered in a situation as we expected to be.

One of those issues revolves around Water Backup Insurance. Check out this article for a more in-depth explanation.

What is Water Backup Insurance?

For many homes, insurance policies will cover the expenses when there is a natural disaster which results in an emergency in your home. Flood insurance is one of those disasters that can help cover your costs for cleanup and repair. However, sometimes the wording excludes water that backs up in your pipes or drains, even if there was a flood outside your home.

Here is why you could be responsible for the costs of cleanup and repair even if you have flood insurance. As a home owner, you are responsible for maintaining the lines from your home to the city’s sewer main. If there is a blockage in the lines you are responsible for, without having Water Backup Insurance added on to your policy, you could be the one footing the bill for the cleanup and repairs.

Here is our advice: Have a clear conversation with your insurance agent to ensure you fully understand what your policy covers and what it does not cover. You can then decide if the coverage you have is enough or if you need to add more to lower your risk in the case of an emergency. Adding Water Backup Insurance usually is a much more affordable option that taking on all of the risk of paying for the cleanup and repairs out of your own pocket.