What Does Home Insurance Cover For Water Damage? 
If the water is coming into the house from outside the damage will be covered if it is entering the house because of a named peril -LRB- i.e. fire . -RRB- If the water is coming from inside the house and is sudden , like a burst pipe , that also will be covered . The damage that comes from slowly leaking vessels or pipes creates a different situation which should have been noticed and corrected . In those cases coverage may be denied . 