Fergusons Insurance Brokers

39B Davey St Frankston, Victoria
Phone: (613) 9783-3200

Flood - as defined by insurance:

The insurance definition of flood often confuses people.  Most insurers use the accepted industry definition and specify flood as “the covering of normally dry land by water that has escaped or been released from the normal confines of any lake, river, creek, other natural watercourse, dam, canal or reservoir”. The majority of insurers Fergusons Insurance Brokers deal with automatically include flood in their policy wording as standard. 

For an incident to be considered a flood, water has to enter the watercourse then escape or be released from the watercourse to be considered a flood incident.  It is not just the accumulation of rainwater at the property which would be considered to be storm damage. An example of this could be a river bursting its banks or a dam releasing excess water to prevent overflowing, this would be 'flood'.

In insurance terms, flood cover is a separate and different issue from storm damage. Most, if not all insurance companies will cover storm damage to property that can include rain, hail, thunderstorm, snow, tornados, lightning and strong wind.  One of the most common types of storm damage is strong winds lifting parts of a roof allowing rainwater to enter and causing damage to the interior of the building.