Does homeowners insurance cover power surges?

How homeowners insurance may cover damage from power surges

A power surge caused by lightning or another covered peril may be covered by homeowners insurance. Personal property coverage on your homeowners policy may pay to repair or replace appliances, electronics, or other items damaged during a power surge, up to your coverage limit and minus any deductible.

Most power surges occur at the connection of a plug to an outlet, but they can also damage old wiring within the walls of your home, which may be covered by your policy's dwelling coverage. Damaged appliances that are built into your home, such as your furnace or water heater, may also be covered under dwelling coverage.

If a power surge causes a prolonged outage, your policy's loss of use coverage may pay for you to live elsewhere and for meals, above what you normally spend, while the outage is repaired.

What exactly is a power surge?

A power surge is a sudden spike in electrical voltage that can travel through various electrical pathways in your home, including outlets, power strips, and wiring.

What causes a surge?

Power surges can be caused by both external forces and internal (home) issues, including:

• Lightning strikes: If lightning hits your home, or power lines going into your home, it can cause a surge.
• Power company issues: Local power company issues can result in surges, such as transformer explosions, transmission line malfunctions, surge switching caused by changes in the electrical load, power grid switching, and maintenance work.
• Downed power lines: Not only can downed lines disrupt power completely, but they may also cause surges.
• Restoration of power: Restoring power after an outage or blackout can result in a surge.
• Electrical overloads: If too many electrical devices are plugged into one power source or are overloading circuits in your home, that can result in a surge.
• Old or faulty wiring: Aging or malfunctioning wiring can cause a surge or be damaged because of a surge.

What types of damage can power surges cause?

Surges can quickly damage or destroy electronics (TVs or entertainment systems, computers, smart devices), appliances (refrigerators, washer/dryers), and HVAC systems. In some cases, a power surge can damage outlets and electrical wiring and even cause a fire at the site of the surge.

Tips to protect your home and belongings from power surges

Here are some protective measures:

• Use surge protectors, not just power strips. Check the surge protector's joule rating; a higher rating typically provides better protection against power surges.
• Consider investing in a whole-home surge protection system, which may help minimize potential damage.
• Unplug sensitive electronics and other devices before a severe storm hits.
• Get electrical inspections, especially if you've had issues like flickering lights.

What happens if the power surge was caused by the electric company?

Contact your utility company if the surge was caused by their server — they may offer surge protection as part of your monthly bill. Insurers typically exclude damage to tubes, transistors, and other components inside your electronics if an artificially generated current caused the surge. However, depending on your policy, you may be covered for "artificially generated" power surges caused by an electric company during maintenance work.

Does renters insurance cover power surge damage?

Personal property coverage under your renters insurance policy may cover damage to your belongings caused by power surges that result from a lightning strike. Power surges that are generated by an artificial current may or may not be covered. Contact your insurer or check your policy to see if certain types of power surges are excluded from coverage.

Filing a claim for power surge damage

The claims process varies by insurer, but you may need to document the damage. Take photos and video and include them with your claim.

Find out more about filing a homeowners claim.

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