If your water line breaks and you need repairs, most homeowners insurance will not cover the costs unless the line has undergone sudden, significant damage. For instance, if a water line breaks on your property due to age, shifting soil, ground temperature changes, poor initial installation, regular wear and tear, encroaching tree roots, or pest damage, your insurance won’t likely cover the break and resulting water damage. However, if you dig in your yard and accidentally damage the water line running from your meter, your homeowners' insurance may cover the repairs and cleanup.