Found out condo insurance barely covers water backup, now I'm rethinking everything

Read my policy last week after my neighbour in Toronto had a flooded basement unit and his claim got denied for sump pump failure. The standard rider only paid out $5k while the cleanup cost him $18k, so I'm asking my broker about a separate sewer backup add-on. Has anyone else gotten burned by this gap or found a cheaper way to protect against it?

1 comments

1 Comment

the_logan22d ago

Ugh, that 5k cap is brutal, I feel for your neighbor! I got hit with the same thing two years ago when my own sump pump gave out during a nasty spring thaw. My rider covered the drywall and carpet but not the subfloor or the dehumidifier rental, so I was out like 6 grand out of pocket. Honestly, the separate sewer backup rider is worth it, I pay like an extra 40 bucks a year for 25k in coverage. Also, get a cheap water alarm and a battery backup for the pump, it's way cheaper than any claim, trust me on that.