Home Insurance Claims That Get Denied Most Often

Filing a home insurance claim should be straightforward, but roughly 1 in 20 homeowners insurance claims gets denied. Here are the most commonly denied claims and how to avoid them.

1. Water Damage from Maintenance Issues

Water damage is the most frequent home insurance claim — and also the most frequently denied. Insurance covers sudden and accidental water damage but does not cover damage from gradual leaks or poor maintenance. A pipe that suddenly bursts is covered. A slow leak that's been dripping for months is not.

2. Flood Damage

Standard homeowners insurance does not cover flooding — period. You need a separate flood insurance policy. Even outside designated flood zones, over 25% of flood claims come from low-to-moderate risk areas.

3. Earthquake Damage

Like floods, earthquake damage is excluded from standard homeowners policies. You need separate earthquake coverage.

4. Sewer Backup

Most standard policies exclude sewer backup unless you've added a specific endorsement. These endorsements are cheap — typically $40-$75 per year — and provide $5,000-$25,000 in coverage.

5. Mold Damage

Mold coverage is extremely limited in most homeowners policies. If mold results from a covered event like a burst pipe, you may have some coverage. But mold from ongoing humidity or poor ventilation is excluded.

6. Wear and Tear

Your home insurance is designed to cover sudden, unexpected events — not gradual aging. A 25-year-old roof that fails, HVAC breakdowns from age, or corroding plumbing are not covered.

How to Avoid Claim Denials

Read your policy. Maintain your home and keep records. Add endorsements for known gaps like sewer backup. Document your belongings with photos. Report claims promptly.

The Bottom Line

The best way to avoid a denied claim is to understand your policy before you need it. Truvo can help you compare homeowners insurance policies side by side, including coverage details and exclusions.