When dealing with water damage in your Philadelphia home, the last thing you want to hear is that your insurance claim has been denied. Unfortunately, many homeowners find themselves in this exact situation due to something called the “surface water exemption.” Understanding what this exemption is and how it affects your claim can save you time, money, and frustration.
What is a Surface Water Exemption?
A surface water exemption is a clause in many homeowners insurance policies that excludes coverage for damage caused by surface water. Surface water is defined as water that collects on the ground or flows across the surface of the land, usually due to rainfall, snowmelt, or overflowing bodies of water like rivers and streams.
This exemption is significant because it means that if your home is damaged by surface water, your insurance company may deny your claim, leaving you to cover the costs out of pocket. The key point here is the source of the water—if it comes from the surface and not from within your home (like a burst pipe), it may fall under this exemption.
How Does Surface Water Cause Damage?
Surface water can cause extensive damage to homes, particularly during heavy rains or flooding events. Here are some common scenarios in Philadelphia:
- Heavy Rainfall: Philadelphia experiences significant rainfall throughout the year. When the ground becomes saturated, excess water may flow toward your home, seeping into the foundation, basement, or lower levels.
- Flooding: Homes located near rivers, streams, or other bodies of water are at increased risk of flooding. Floodwater can rise rapidly, overwhelming your home’s defenses and causing severe damage.
- Snowmelt: During the winter, snow can accumulate on rooftops, driveways, and yards. When temperatures rise, this snowmelt can lead to surface water runoff, which may pool around your home’s foundation.
- Poor Drainage: Improper drainage systems around your property can exacerbate surface water problems. If your gutters, downspouts, or yard grading are inadequate, surface water may accumulate near your home and eventually infiltrate it.
Why Was My Claim Denied?
If your insurance claim was denied due to the surface water exemption, it’s likely because the damage to your home was determined to be caused by surface water rather than a covered peril. Here are some common reasons why a claim might be denied under this exemption:
- Flooding: Standard homeowners insurance policies typically do not cover flood damage. If surface water from a flood damaged your home, your claim would likely be denied unless you have a separate flood insurance policy.
- Lack of Maintenance: Insurance companies may deny claims if they determine that poor maintenance contributed to the damage. For example, if clogged gutters or poor yard grading caused surface water to pool near your home, your claim might be denied.
- Exclusion Clauses: Many policies explicitly exclude coverage for surface water damage. If your policy includes this clause, any claim related to surface water may be automatically denied.
What Can You Do if Your Claim is Denied?
If your claim has been denied due to a surface water exemption, you still have options:
- Review Your Policy: Carefully read your insurance policy to understand the specific exclusions and coverage limits. Make sure the denial is in line with the terms of your policy.
- Appeal the Decision: If you believe your claim was wrongfully denied, you can appeal the decision. Provide additional evidence, such as photos, expert opinions, or maintenance records, to support your case.
- Consult an Attorney: If you’re facing significant financial losses, it may be worth consulting an attorney who specializes in insurance claims. They can help you navigate the appeals process and negotiate with your insurance company.
- Consider Flood Insurance: If you live in an area prone to flooding, consider purchasing flood insurance. This separate policy can provide coverage for flood-related surface water damage, protecting you from future losses.
Preventing Surface Water Damage
Preventing surface water damage is key to avoiding future claims and keeping your home safe. Here are some proactive steps you can take:
- Improve Drainage: Ensure that your property has proper drainage systems in place. Clean your gutters regularly, extend downspouts away from your home, and grade your yard to direct water away from your foundation.
- Install a Sump Pump: If your basement is prone to flooding, consider installing a sump pump. This device can help remove water that accumulates in your basement before it causes damage.
- Seal Foundation Cracks: Inspect your foundation for cracks and seal them to prevent water from seeping in. Waterproofing your basement walls can also provide an added layer of protection.
- Maintain Landscaping: Keep your landscaping well-maintained to prevent water from pooling near your home. Trim back shrubs and trees that could block drainage paths, and consider installing a French drain if necessary.
Popular Homeowners Insurance Companies in the Philadelphia Area
When dealing with a surface water exemption, it’s essential to know the specifics of your homeowners insurance policy and the company backing it. Different insurers may have varying levels of coverage, exclusions, and customer service experiences. Here’s an overview of some popular homeowners insurance companies in the Philadelphia area and what you should know about them:
1. State Farm
State Farm is one of the most widely recognized insurance companies in the United States, including in Philadelphia. Known for its extensive network of agents and customer service, State Farm offers a range of homeowners insurance policies that can be customized to your needs. However, like many insurers, State Farm typically excludes flood damage caused by surface water, so it’s crucial to review your policy and consider additional coverage if necessary.
2. Allstate
Allstate is another major player in the homeowners insurance market in Philadelphia. The company offers a variety of coverage options, including protection against water damage. Allstate policies generally include exclusions for surface water damage, but the company provides optional add-ons, like flood insurance, to help cover these gaps. Allstate is also known for its online tools and resources, which can help homeowners better understand their policies.
3. Liberty Mutual
Liberty Mutual offers homeowners insurance with flexible coverage options tailored to the needs of Philadelphia residents. While standard policies may not cover surface water damage, Liberty Mutual provides endorsements and additional policies, such as flood insurance, to help fill in the gaps. Liberty Mutual is also praised for its discounts and bundling options, which can help homeowners save on premiums.
4. Nationwide
Nationwide is another popular choice for homeowners in Philadelphia. The company offers a broad range of coverage options, including protection for water damage, but standard policies may not cover surface water. Nationwide is known for its responsive customer service and claims process, making it a reliable choice for those who need assistance with a claim. Additionally, Nationwide offers various add-ons, including flood insurance, to help homeowners protect against surface water damage.
5. Erie Insurance
Erie Insurance is a regional insurer that has a strong presence in Pennsylvania, including Philadelphia. Erie is known for its personalized service and comprehensive coverage options. While standard Erie policies may include exclusions for surface water damage, the company offers flood insurance and other endorsements to help provide more complete protection. Erie is often praised for its competitive rates and customer-focused approach.
6. The Philadelphia Contributionship
Founded by Benjamin Franklin, The Philadelphia Contributionship is one of the oldest insurance companies in the United States and is based right in Philadelphia. The company offers specialized coverage tailored to the unique needs of historic and older homes, which are common in the area. While surface water damage may be excluded from standard policies, The Philadelphia Contributionship offers various options and endorsements to help homeowners safeguard their properties.
Choosing the Right Insurance Company
When selecting a homeowners insurance company in Philadelphia, it’s essential to compare policy options, coverage limits, and exclusions carefully. Understanding what is and isn’t covered, especially regarding surface water damage, can save you from unexpected financial burdens. Additionally, consider speaking with an insurance agent who is familiar with the specific risks and challenges faced by Philadelphia homeowners.
If your claim has been denied due to a surface water exemption, Philly Damage Restoration can assist you in navigating the appeals process and provide expert water damage restoration services. Understanding your insurance policy and working with a trusted restoration company can make all the difference in protecting your home.
