Does Homeowners Insurance Cover Groundwater? 
The answer is no in the sense I believe your asking about . If ground water comes into your house including your basement that is a flood scenario and not covered by a conventional homeowners policy . There may be a way to protect your self if you are in an area designated as a flood zone . In that case your agent may be able to help with a WYO flood policy . Participant companies write the flood insurance and present to the consumer , but in fact the coverage is resinsured at 100 % by The National Flood Insurance Program of the US Federal Government . The reason private insurers do not provide coverage is that , it is a classic case of adverse selection . The only ones who would buy coverage are folks that live in an area that floods . 