Is Basement Flooding Covered By My Insurance?

As you likely know, weather in New England can change in an instant. A snow storm in the morning can just as easily melt by the afternoon, leaving your front yard feeling more like a swamp and potentially causing water to pool into your basement. This and many other scenarios can leave your home, and specifically your basement, vulnerable to flood damage.

Depending on which flood zone your property is located in, your home may be more susceptible to flooding - which could result in you having to cover a large expense on your own if you are without the proper protections. 

At Berry insurance, we often get questions from clients experiencing flooding in their basements on what exactly will be covered by a flood insurance policy. So, in this article we’ll be covering how flood insurance handles basement flooding, as well as the policy’s restrictions. 

Table of contents: 

• Does my homeowners insurance cover my basement flooding? 
• What damages are covered by flood insurance? 
• Does flood insurance cover basements? 
• How can I protect my basement and belongings from flood damage? 
• How much does flood insurance cost? 

Does my homeowners insurance cover my basement flooding? 

First, let’s review how home insurance policies deal with water damages.

While some scenarios involving water damage will be covered by your standard home insurance policy (such as burst pipes, overflowing toilets, or rain dripping through your roof), water damages involving groundwater are not covered. 

Groundwater is naturally occurring water underground that can seep into your home and be particularly destructive for a home’s foundation and basement. To receive coverage for groundwater and other types of flooding, you will instead need to acquire a separate flood insurance policy. 

What damages are covered by flood insurance? 

This type of insurance policy covers flooding defined as “water that covers at least two acres of land that is normally dry, or that damages two properties, one being your own.” 

And it’s important to note that flooding does not solely derive from heavy rainfall, as everything from melting snow, burst city pipes, dam failure, or new land developments can potentially cause flooding on your property. 

If you experience flooding from one of these scenarios, or another that is covered, your flood insurance policy would cover your home and permanent fixtures within your home and most of your possessions - but with some exceptions.

So, does flood insurance cover basements?

Here are where some restrictions on flood insurance come into play. 

While flood insurance policies will cover permanent fixtures and some appliances in basements, it will not cover what insurance carriers refer to as “non-essential” extras within the basement itself.

So, flood insurance will cover the following in your basement: 

• Appliances
• Foundation walls
• Staircases
• Air conditioning units
• Electrical outlets
• Circuit breakers
• Washing machines/dryers
• Fuel tanks
• Water heaters and furnaces 

 But will not extend coverage these in your basement: 

• Paneling
• Tiles
• Carpets
• Curtains
• Furniture
• Items in storage
• Personal belongings
• Generators 
• Dehumidifiers 

Now we know what you’re thinking: “that’s a lot of my basement that isn’t covered!” And yes, since basements typically experience the most flooding on a given property - they also have heavier restrictions when it comes to what will be insured. 

Additionally, insurers will have specific parameters for what is considered to be a basement. A basement will be any area of a building with a floor that is below the ground level on all sides, is 5 feet or more below the top of the next higher floor, and/or 2 feet or more below the LAG on all sides. Spaces less than this would instead be considered a crawl space, rather than a basement. 

How can I protect my basement and belongings from flood damage? 

When it comes to protecting the “non essential” elements of your basement, we recommend moving as many of these items up to the main floor of your home, where they would be covered by flood insurance. Obviously it isn’t an ideal solution, but moving as much as you’re able when flooding may be imminent could save you from costly damages that otherwise wouldn’t receive coverage. 

Besides moving items, it’s also recommended that homeowners ensure the upkeep of their home to prevent potential flooding to the best of their ability. This can mean fixing clogged gutters, sealing cracks in your foundation, installing sump pumps, or maintaining your sewer lines and septic tanks. 

For more information on what you should upkeep on your home to protect yourself from costly claims, check out our seasonal home maintenance guide for year-round solutions. 

How much does flood insurance cost? 

When purchasing flood insurance policies, you can buy up to $250,000 in dwelling coverage and $100,000 in personal property coverage for a total of $350,000. 

How much you choose to buy will depend on how high you perceive your risk, your current budget, and any requirements of your mortgage lender. 

The cost of flood insurance will vary greatly (from $500 to $12,000 annually) depending on what risk zone you are in, what your coverage limits are, and what you choose as your deductible. If you’re renting, coverage for your personal belongings will generally cost a couple hundred dollars.

While flood insurance is not going to be a necessity for every homeowner, we recommend each look into it, as even the smallest amount of water damage in your home can cause costly claims. And even homes in lower risk flood zones can find themselves experiencing heavy flooding - as according to Assurant, more than 40% of flood insurance claims come from outside of high-risk flood zones. 

In addition to this, excess flood insurance policies are also available from excess flood and private flood carriers, if you require even more coverage offered through a standard flood policy. 

For more on the cost of Massachusetts flood insurance, check out this article: How Much Does Flood Insurance Cost in Massachusetts?

Covering your base(ment)

Whether you’ve experienced basement flooding before or are prepping for any outcome, having flood insurance in place can be the best way to ensure your home’s foundation is covered.

While the limitations on what is covered in basements by flood insurance can be frustrating, it’s better to be vigilant than have to pay out-of-pocket for expensive water damages. 

With all this talk of flood zones, you may be wondering where your property falls on FEMA’s flood map. To see how your home is graded, what the different flood zones mean, and how to get a flood elevation certificate, read our guide: How to Find Out if you're in a Flood Zone (and How to get a Flood Elevation Certificate).