Does Homeowners Insurance Cover Flood Damage?

What is Flood Damage?

Flood damage simply means the destruction caused by flooding, which usually occurs due to excessive rain or rising water levels in areas in a short span. This can cause significant damage to homes, businesses, infrastructure, and more.

Do You Know❓
In 2024, the UAE experienced devastating floods, and the cabinet approved AED 2 billion ($544.6 million) to repair damaged homes.

Does Homeowners Insurance Cover Flood Damage?

Yes, home insurance in the UAE covers flood damage. With a comprehensive policy, you can get coverage against loss/damage of your property and valuable belongings caused by floods. Coverage for such disasters is mostly built in standard plans, i.e. there is no separate home and flood insurance.

Depending on your plan, your policy can cover the repair cost of both the building and the content, including the roof, walls, fixtures, and more.

Is Flood Damage and Water Damage the Same? Flood damage and water damage might sound the same, but they are different. Flood damage, as we know, is caused by natural hazards. Water damage, however, encompasses a wide range of issues — leakages, burst pipes, and more. In this way, flood damage is a distinct type of water damage. While policies cover both, you must keep in mind that the coverage conditions can be different for flood and water damage — the latter also includes issues related to plumbing. If you are searching, ‘Does home insurance cover water damage,’ click here to know more.

Home Insurance Cover for Floods — What is Included?

Here is an overview of the types of coverage available under this insurance type —

1.) Building Coverage

Typically, home insurers cover the loss and damage of your building and permanent fixtures or fittings inside the house under a home flood insurance plan.

2.) Content Coverage

With this cover, insurers compensate for the losses resulting from damages to your home’s contents, valuables, and so on.

3.) Tenant’s Liability Coverage

If you are a tenant, you can get coverage for the loss/damage of your landlord’s home, including fixtures and fittings. However, as the specifics of this plan may vary as per the provider, it’s advisable to check your policy document.

What is Not Covered Under Home Insurance in the UAE?

Find below the common exclusions under home insurance with flood damage coverage —

• Loss/damage by frost
• Unoccupied home (more than 60 days)
• Damage caused by your family members, guests, and more
• Pollution and contamination
• War, terrorism, civil war, or war-like situations
• Loss or damage of content not in your insured house
• Wear and tear
• Radioactivity and sonic bangs

Note: Your policy may have different exclusions — it’s highly advisable to check the exclusion section under your plan.

How to Find the Best Home Insurance Company with Flood Damage Coverage?

Consider the following tips to get the best home insurance policy with flood coverage in the UAE —

• Review Company’s Reputation: Choose a company with a solid reputation in the industry. Review independent ratings and reports to confirm the insurer’s ability to cover high claims volume, especially in flood-prone regions. 
• Look at the Customer’s Testimonials: Read reviews or seek recommendations from your family and friends. Good online reviews indicate reliability in flood damage coverage, timely payouts, and good service. 
• Check Policy’s Inclusions and Exclusions: Understand that policies offered by insurance companies in the UAE may vary. Focus on coverage for flood damage and check specific inclusions, exclusions, and more. 
• Assess the Claims Process: Look for insurers with a hassle-free claims process. A good provider offers online claim filing, quick approvals, and dedicated customer service. 
• Compare Premium Costs: Analyse premiums in relation to coverage offered by home insurance providers in the UAE. By thorough comparisons on platforms like Policybazaar.ae, you can easily find the best plan that meets your coverage needs within your budget. 
• Evaluate Add-On Coverage Options: While flood cover is primarily included in household insurance plans, you can always check for benefits beyond that in the form of add-ons or riders. They can enhance your plan’s cover against a variety of risks.

Claim Process — Home Insurance with Flood Damage

Mentioned below is the home insurance claim process —

• Immediately contact your insurer provider and inform them about the damages
• Keep your documents ready to support the claim
• If feasible, take photos and videos of the damage
• Complete the application form and submit the required documents
• Once your documents have been approved by the insurer, you will get the claim settlement amount

Frequently Asked Questions