Claims – what is and isn’t covered?
Here’s a simple list of losses that are and aren’t covered by Initio’s home and contents insurance policies.
Key takeaways
- Whether a claim is covered depends on the cause of the damage and the terms, conditions and exclusions of your policy.
- Insurance generally covers sudden and accidental damage caused by insured events, rather than damage that happens gradually over time.
- Common insured events can include things like fire, storm, theft and accidental damage, depending on your policy.
- Wear and tear, poor maintenance, gradual deterioration and pre-existing damage are generally not covered.
- If you are unsure whether something is covered, contact our Claims team before repairing or replacing items where possible.
Note this is not an exhaustive list but some of our more popular claims. Please refer to our full policy for more details.
Examples of damage that may be covered:
| Scenario | Covered |
|---|---|
| Car crashes into front fence. | ✅ |
| Burglary. | ✅ |
| Candle is left burning unattended, curtain catches alight and the whole house burns down. | ✅ |
| Washing machine discharges into a full sink and floods the laundry and hallway. | ✅ |
| Child draws on bedroom walls with permanent marker. | ✅ |
| Tree falls on house in a storm and damages spouting and roof. | ✅ |
| Wind catches French door, bends frame and breaks glass. | ✅ |
| Frozen pipes cause pipes to crack and burst. | ✅ |
| Teenagers jostling each other in the bathroom accidentally knock the toilet over. | ✅ |
| Hot pot is placed on the kitchen bench and the laminate top melts. | ✅ |
| Fence is blown over by high winds. | ✅ |
| Someone accidentally drives their car through the back wall of the garage. | ✅ |
| Bath is accidentally left running and it overflows. | ✅ |
| Car accidentally drives into the garage door, bending it and knocking it off the runners. | ✅ |
| Laptop is dropped and broken (owner-occupied home with replacement contents only). | ✅ |
| Electrical storm causes appliances to blow. | ✅ |
| Tenant is aggravated about being evicted and attacks the house with a golf club, leaving numerous holes in walls and smashed windows. | ✅ |
| Cellphone is accidentally dropped in the toilet and no longer works (owner-occupied home with replacement contents only). | ✅ |
| A full bottle of shampoo is accidentally dropped on the shower base, causing a crack. The shower is immediately turned off and a replacement shower base is installed. | ✅ |
| A potential buyer requests a methamphetamine test before the sale of a rental property. Results come back positive and the property requires cleaning. Total claim is under $30,000. | ✅ |
| A seal on a hot water cylinder fails due to age and brittleness. Water slowly drips onto chipboard flooring, causing it to swell and disintegrate. The replacement seal is not covered, but the resulting damage to the flooring is covered. | ✅ |
| Skirting boards appear swollen and wet behind a bookshelf, with wet carpet also present. The cause is a nail through a PVC pipe that has slowly rusted out. The pipe repair is not covered, but the resulting water damage is covered. | ✅ |
Examples of damage that isn’t usually covered
| Scenario | Covered |
|---|---|
| Pot plant rots carpet. | ❌ |
| Roof tiles come loose over a period of time. | ❌ |
| Broken window glass where the repair cost is below the excess amount. | ❌ |
| Tenant leaves the house dirty and it needs to be cleaned. | ❌ |
| Cat messes on carpet over time and stains and odours remain because it has not been cleaned properly. | ❌ |
| Tenant leaves behind rubbish and the insured has to pay for disposal. | ❌ |
| Tenant leaves behind personal belongings and the insured has to pay for disposal. | ❌ |
| Shower base is cracked and water gets through, soaking the floorboards and joists. | ❌ |
| Sealer around a bath breaks down and water soaks through over a period of time. | ❌ |
| Oven elements rust due to insufficient cleaning and maintenance. | ❌ |
| Damage caused by insects, rodents or vermin (other than possums). | ❌ |
“All claims are different and they are assessed on their own merits and facts. The above does not imply a guaranteed approach to all such claims”.
If you’re not sure what everything in your insurance policy means, our guide on how to read an insurance policy walks you through in a simple, easy-to-follow way.
Frequently asked questions
What types of damage does house insurance usually cover?
House insurance is designed to cover sudden and unexpected events, such as certain types of fire, storm, theft or accidental damage, subject to your policy terms and conditions.
Does insurance cover damage that happens gradually over time?
Generally, no. Insurance is designed for sudden and accidental damage rather than issues caused by gradual deterioration, wear and tear, maintenance issues or ageing.
Does insurance cover damage caused by lack of maintenance?
No. Property owners are responsible for maintaining their property. Damage caused by poor maintenance, neglect or failing to repair known issues is generally not covered.
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