Coverage Types
Water & Sewer Backup Coverage
Definition
An endorsement that covers property damage caused by water that backs up through sewers, drains, or sump pumps into the insured property. Standard homeowners policies typically exclude this type of water damage, which is distinct from both plumbing leaks (usually covered) and external flooding (requires separate flood insurance).
In Zach’s Words
“Here's one that surprises people: your homeowners policy covers a burst pipe, but if the city sewer backs up into your basement? Not covered. Same with your sump pump overflowing. Water backup coverage is an endorsement you add to your policy — usually only $50–100 per year — and it covers the cleanup and damage from these scenarios. If you have a basement or live in an area with older sewer infrastructure, this is one of those cheap endorsements that can save you tens of thousands.”
— Zach Nadler, CIO