5 Shocking Things NOT Covered by Homeowners Insurance
It’s no secret that homeowners insurance can be confusing. Between the countless carriers, customizable policies, and murky legal language, understanding what’s actually covered—and what isn’t covered by homeowners insurance—can feel like decoding a secret manual.
As a veteran of the restoration industry with decades of experience helping Chicagoland families recover from fire, flood, and everything in between, I’ve seen firsthand the chaos that comes when a homeowner assumes something’s covered… and it isn’t.
While I’ve written extensively about what homeowners insurance does cover, this time, we’re flipping the script. Below are five things your homeowners policy probably won’t cover—plus tips on how to plug those costly gaps. What isn’t covered by homeowners insurance?
1. Floods and Earthquakes
Let’s start with the big ones—literally.
Most standard homeowners insurance policies do not cover damage caused by floods or earthquakes. This often comes as a shock, especially since these natural disasters are becoming more common.
Flooding in Illinois
If you live anywhere near a river, lake, or low-lying area in Cook, Lake, or DuPage Counties, you’ve likely experienced flooding—or know someone who has. Illinois ranks among the top states for flood-related disaster declarations.
FEMA’s National Flood Insurance Program (NFIP) is often the only way homeowners can get flood coverage. It’s a separate policy that covers structural damage and, in some cases, contents.
Tip: You don’t need to be in a “high-risk” zone to experience a flood. In fact, 25% of flood insurance claims come from low- to moderate-risk areas, according to FEMA.
Earthquake Risk Is Rising
While Illinois isn’t California, we’re not off the hook. The New Madrid Seismic Zone affects southern Illinois, and Chicago has experienced minor quakes in the past.
Standard insurance won’t cover structural damage, cracks, or collapse due to earthquakes unless you’ve added a specific earthquake endorsement.
2. Dog Bites from Certain Breeds
Here’s a little-known fact: most homeowners insurance policies cover dog bite liability—but with a major catch.
Many insurers maintain a list of “high-risk” dog breeds that they will not cover, even if the dog has no history of aggression. These typically include:
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Pit Bulls
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Rottweilers
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Doberman Pinschers
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German Shepherds
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Akitas
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Wolf-hybrids
If your dog is on this list, your insurance company could:
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Deny your entire liability claim.
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Drop your coverage altogether.
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Require you to exclude your dog from the policy.
According to the Insurance Information Institute, dog bites and other dog-related injuries accounted for over $1 billion in liability claims in 2022.
What You Can Do:
Ask your agent if your carrier has a breed restriction list. If they do, consider shopping for specialty liability coverage or umbrella insurance that specifically protects against dog-related incidents.
3. 🔧 Burst Pipes… Kinda
This one is a classic insurance gray area—and one of the sneakiest.
Most homeowners assume that if a pipe bursts and causes damage, it’s all covered. But that’s only partially true.
Here’s the breakdown:
| Incident | Covered? |
|---|---|
| Water damage from the burst | ✅ Usually covered |
| Repair/replacement of the pipe | ❌ Not covered |
| Damage due to neglect (e.g., uninsulated pipes in winter) | ❌ Often denied |
So yes, the cleanup is often covered, especially if you call a certified water damage restoration company like ServiceMaster Restoration By Simons. But if the pipe itself needs replacing, that’s usually on your dime.
Pro tip: Maintain heat in your home, even when you’re away. Insulate exposed pipes. This may help you avoid both damage and insurance claim denial.
4. Nuclear Accidents
It might sound like science fiction, but the risk of nuclear accidents—especially for Illinois residents—isn’t as far-fetched as it seems.
According to the U.S. Energy Information Administration, Illinois has more nuclear reactors than any other state. Over 3 million Americans live within 10 miles of a nuclear power plant.
Yet standard homeowners policies exclude damages caused by nuclear accidents, including:
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Radiation contamination
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Structural damage from a blast
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Loss of use due to evacuation
The federal government maintains the Price-Anderson Act, which provides some financial protections in the event of a nuclear disaster. But this coverage is limited, and navigating it is a bureaucratic nightmare.
Bottom line: If you’re near a reactor, talk to your insurance agent about what emergency response plans—and financial coverages—are in place.
5. Sinkholes
Sinkholes might sound like a Florida problem, but they’re more common in Illinois than you might think—especially in areas with limestone bedrock, like the western and southern regions of the state.
And yes, once again, sinkholes are not typically covered under standard policies unless you’ve added special riders.
Only Florida and Tennessee require insurers to provide sinkhole coverage. In most other states, it’s considered “earth movement” and excluded unless you purchase sinkhole-specific insurance.
How to Know if You’re at Risk:
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Cracks in walls, especially near windows or doors
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Sagging or sloping floors
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Depressions in your yard or driveway
Helpful resource: Check the USGS sinkhole map for your region: USGS Sinkhole Overview
Bonus: Other Common Exclusions
While the five areas above are the most surprising, they’re not the only exclusions you might encounter. Here’s a quick list of other things your policy may not cover:
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Termite or pest damage
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Normal wear and tear
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Sewer backups (unless you’ve added coverage)
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Damage from war or government action
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Business-related losses (home office equipment, liability)
What Should You Do Next?
Homeowners insurance isn’t a one-size-fits-all product. That’s why it’s critical to:
Review Your Policy Annually
Sit down with your insurance agent every year and go over what’s included, what’s excluded, and what endorsements might be worth adding. Understand what isn’t covered by homeowners insurance.
Ask Smart Questions
Not sure where to start? Try these:
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What perils are excluded from my current policy?
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Does my dog’s breed affect my liability coverage?
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Am I covered for sewer backups or sump pump failures?
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What’s the deductible for water damage?
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Is mold remediation covered, and under what conditions?
Check out our full guide: 5 Questions to Ask Your Homeowner’s Insurance Agent
Partner With Pros
If you’re facing damage from flooding, mold, or a burst pipe—don’t wait. Call a restoration expert like ServiceMaster Restoration By Simons right away. We’ll help you document your loss, navigate your insurance claim, understand what isn’t covered by homeowners insurance, and get your property back to pre-loss condition.
About the Author
Sam Simon is the owner of ServiceMaster Restoration By Simons, a multi-award-winning disaster restoration firm serving Chicago and the North Shore. A certified IICRC Master Fire & Water Restorer with over 30 years of experience, Sam has helped thousands of homeowners navigate complex insurance claims. He is also the co-author of RESTORE: A Complete Guide to Protecting Your Home As Your Most Valuable Asset.