When a Flood Isn't a Flood

You might want to call it a flood, but it may not actually be one.

When we open the basement door and see water all over the floor, the first thing that comes to our minds (after a panicked gasp) is “OH NO – THE BASEMENT IS A LAKE!” 

If it’s something we can control, we might try to stop it, but in short order, we’re on the phone with our insurance company. 

But it is a flood? Or something else?

Generally speaking, a flood is a moving body of water that comes in through an opening. It could be a flash flood caused by pouring rain that forces its way through your basement door or windows. Perhaps it’s a rising river or backyard brook that, again, comes in through your door or windows. Those are generally considered to be a “flood”, and here in Minnesota, the insurance to cover those situations comes from a specialized carrier.

But what if the water all over your basement floor is bubbling up from your floor drain? 

That’s generally a different matter – and not generally considered a flood.

If you have a sump pump, you could have an overflow situation. Or you could simply have a sewer backup or storm water backup coming in as a result of what’s happening outside.

Special Coverage Alert

You may want to consider whether your homeowner's policy includes “water backup and sump pump overflow” coverage. Some companies might call it a “water endorsement” or something similar. This additional coverage may be important if you have anything of any value whatsoever in your basement – which many people do.

Whether your basement is fully or partially finished and furnished or simply a storage area where your furnace and water heater live, you may have items down there that are susceptible to water damage AND which could be costly to replace.

Without appropriate coverage, cleaning up the basement and replacing all of your damaged belongings will be 100% on you.

Nothing to Mess With…

When you have a drain backup in your basement, the damage it causes is often not trivial. Think about what you have in YOUR basement. Is it a storage area, filled with cardboard boxes, papers, books, holiday items, tools, out-of-season décor?

Or perhaps you have a finished basement, with furniture, electronics, perhaps a bar or a game table? Maybe it’s both – a finished area AND a storage area. Plus your furnace and water heater are most likely down there, too.

It’s still a mess. Even with the best insurance coverage available, no one wants to deal with a soggy mess – bad enough if it’s just water, and so much worse if it’s a sewer backup.

There are some steps you can take to help mitigate risk in case you end up dealing with a soaking wet basement, particularly in your storage areas:

• Store whatever you can in plastic bins instead of cardboard boxes.
• Elevate your storage – put in shelving or even palettes on the floor for larger items.
• Put your lightest items, most irreplaceable items, and electronic items on the upper shelves.
• Put paper items – like holiday wrapping paper – on upper shelves also.
• Ensure that your basement drain remains clear and uncovered.
• Invest in a water detector that will sound an alarm if water starts collecting on the basement floor – this could let you get into action before it gets deep or starts encroaching on the main floor.
• Know where your water shutoff is in case you need to shut off a broken pipe.
• Know where your shutoffs are for your water heater and furnace – especially if you run on natural gas.

Know What You Have

Do what you can to keep track of what’s kept in your basement. The special water backup and sump pump overflow coverage may also provide coverage for the contents of the basement – separately from your base homeowner's policy. 

Take pictures. Open boxes and photograph the contents. Open cabinets and do the same. Keep track of anything of value you put down there. Obviously larger items are easier to track – a couch, a piece of workout equipment, etc. But little things can also add up to big numbers. Do you keep your holiday decorations in boxes down there? Cushions for outdoor furniture? Seasonal clothing storage? Craft supplies? It all adds up.

Finished, partially finished, or unfinished, your basement is likely susceptible to water damage. Being sure you are appropriately covered makes good sense. Talk to your agent to get the right coverage, and help yourself mitigate risks of loss right away by considering the tips we’ve provided above.

Start a Quote Online or Contact Us. We look forward to hearing from you.

This article is for general information only and should not be considered an offer of insurance or legal or other expert advice.  The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all risk of loss.  Claims examples herein are for discussion purposes only.  Coverage will be determined based on the facts of the claim and the terms of your policy, if approved for issue.  Policy limits, deductibles, conditions, and exclusions may apply.  Your eligibility and premium will depend on the application of Federated’s underwriting guidelines to your unique circumstances including, but not limited to, your personal information, loss history, location, and coverage.  The information herein is current as of September 2022 and is subject to change.  Coverage not available in all states.  Qualified counsel should be sought with questions specific to your circumstances.   Policies are underwritten by Federated Mutual Insurance which is licensed in Minnesota.