Enjoy enhanced protection that covers flooding rivers, heavy rainfall or sewer backup.
Water damage can happen when you least expect it. In fact, water damage accounts for half of all home insurance claims in Canada.
While many homeowners assume all types of water damage are covered by their home insurance policy, coverage can vary depending on the cause of the damage and the protections included in your policy. Understanding what is covered, and what additional coverage are available, can help you make informed decisions about protecting your home.
What water damage is typically covered?
Most home insurance policies provide coverage for sudden and accidental water damage. For example, if a pipe unexpectedly bursts and causes damage to your home, the resulting repairs may be covered under your policy.
However, not all water-related losses are automatically included. Coverage for events such as sewer backup, overland flooding or groundwater entering your home often requires additional protection through an endorsement.
That’s where CAA Water Coverage1 can help.
What is CAA Water Coverage?
CAA Water Coverage is an optional endorsement that combines multiple aspects of water damage, such as flooding rivers, heavy rainfall or sewer backup.
This coverage is designed to provide protection against losses resulting from events such as flooding, sewer backup and groundwater intrusion, helping homeowners prepare for risks that may not be covered under a standard policy.
What’s included in CAA Water Coverage?
When added to an eligible property policy, CAA Water Coverage provides protection for sudden direct physical loss or damage to insured property caused by:
- Flooding
- Groundwater or the rising of the water table
- Mudflow
- Surface water
- The backing up or escape of water or sewage through:
- A sewer on your premises
- A septic system on your premises
- A sump located within your dwelling or detached private structures
- A drain located within or on your dwelling or detached private structures
In addition to property damage protection, the endorsement may also provide coverage for mass evacuation and additional living expenses, as defined in your policy, when they result from an insured peril covered under the endorsement.
For example, if an insured water event makes your home temporarily uninhabitable, coverage may be available for certain additional living expenses while repairs are completed.
What isn’t covered?
Like all insurance products, CAA Water Coverage includes exclusions and limitations. Understanding these exclusions can help avoid surprises if you need to make a claim.
The endorsement does not cover loss or damage caused directly or indirectly by:
- Spray, waves, tides, tidal waves, storm surge, tsunamis, seiche or the escape of salt water from natural or man-made watercourses or bodies of water
- Ice or waterborne objects
- Continuous or repeated seepage or leakage of water from natural or man-made sources
- Landslides or other earth movement
- Damage occurring while the dwelling is under construction or vacant, even if permission for vacancy has been granted
Your policy wording will contain complete details regarding coverage, limitations and exclusions.
How can you get CAA Water Coverage?
CAA Water Coverage is available as an endorsement that may be added to an eligible property insurance policy. A licensed CAA Insurance Agent can help determine whether your property qualifies and explain how the coverage works alongside your existing policy.
Speak with CAA Insurance today to help you find trusted coverage that fits your needs and the savings you deserve. Call 1-833-673-3030 or visit carp.ca/caa-home.
CAA Insurance2 is CARP’s Recommend provider for auto, home, travel, life and pet insurance.
1 Underwritten by CAA Insurance Company. Claims administered by CAA Insurance Company.
2 Please visit carp.ca/caa to see a list of underwriters covering various CAA insurance products. Not all products are available in all provinces. Terms and conditions apply.
®CAA trademarks are owned by, and use is authorized by, the Canadian Automobile Association. Logos and trademarks are the property of their respective owners. Certain conditions, limitations and underwriting guidelines apply.
