Over the last few years, many Florida insurance companies have implemented a $10,000 limit on the most they will pay out for a water damage claim other than wind or hurricane. Sadly, other than hurricanes, the most common claim in Florida is plumbing.
“This policy provides up to $10,000 of coverage due to water caused by accidental discharge of water from plumbing or appliances. All other water damage is excluded except water damage caused by penetration into the house when water penetration is the direct result of damage caused by wind or hail”
Often these endorsements are difficult to find in a policy and many insurance agents fail to explain the water damage cap. At Horizon, we have seen our average water damage claim from plumbing in over $100,000 and more. Just ask yourself; how much would it cost to replace my kitchen cabinetry, walls and flooring including remediation. A large water damage claim with a cap will create a financial crisis.
Please review your policy today to make sure you do not have a limit. If you do, contact your agent immediately to change it. One more comment is the fact that the $10,000 has been around for years while insurance premiums have increased drastically. The cost of repairs has also gone up, while the $10,000 cap has remained the same.
At Horizon, we have seen too many people faced with a water cap claim that caused financial difficulties. If you have a $10,000 water damage claim, contact your insurance agent today.