Does Insurance Cover Structural Damage? What Homeowners Need to Know

Finding a crack in your foundation or a sagging wall is enough to make anyone sweat. Before you panic about repair costs, you probably want to know if your insurance will bail you out. Spoiler: it depends a lot on what caused the damage in the first place. Insurance isn’t always as clear cut as people hope, especially with foundations and other big-ticket repairs.

So here’s the deal: most standard homeowners insurance policies cover “sudden and accidental” problems, like a burst pipe that floods your basement and messes up your foundation. But if your home is settling for no clear reason or there’s long-term wear and tear, your claim might hit a wall. Insurers love to point out fine print, so it pays to read your policy and snap photos of any damage right away. Being prepared saves a ton of headaches if you ever need to make a claim.

• What Counts as Structural Damage?
• When Does Insurance Actually Pay?
• The Usual Exclusions: When You're Out of Luck
• Smart Steps to Boost Your Claim

What Counts as Structural Damage?

“Structural damage” isn’t just a scary phrase your contractor throws around—it’s got a real meaning when it comes to your insurance policy. At its core, structural damage means anything that messes with the main parts of your house, the stuff that keeps it standing and safe.

Here’s what usually counts as structural damage in the eyes of insurance companies:

• Foundation cracks or shifts: Not all cracks are equal, but big ones or those that change over time could signal trouble.
• Framing issues: If the framing (support beams, wall studs, joists) starts bending, breaking, or rotting, it’s a problem.
• Load-bearing wall damage: Cracks or shifts here can weaken your whole house.
• Roof structure failure: If your roof sags or part of it drops because of broken trusses, that’s a structural issue.
• Floor problems: Severe sagging or bowing of the floor, especially if you notice it getting worse quickly.

For insurance companies, it’s all about the stuff that could make your house unsafe or unlivable. Cosmetic stuff—peeling paint, squeaky floors, or tiny drywall cracks—doesn’t count. They want to see that the basic bones of your house are in jeopardy.

Check out this quick reference table for what’s considered structural versus what isn’t:

If you spot big, spreading cracks, sagging supports, or doors and windows that suddenly won’t shut right, that could be a sign the problem isn’t just surface deep. Always document the damage with photos, because insurance adjusters want proof that something serious is going on.

When Does Insurance Actually Pay?

Insurance companies don’t just pay out for every foundation crack or wall shift. They look at the cause of the structural damage first. If it’s sudden, like an event you couldn’t predict or prevent, there’s a good chance you’re covered. If it’s slow and expected, like natural settling or neglect, you’re probably on your own.

For example, here’s when most homeowners insurance policies step up:

• A burst water pipe floods your basement and shifts your foundation.
• A vehicle slams into your home and cracks structural walls.
• A house fire damages your support beams or walls.
• Explosions (even from a nearby property) cause major cracks or collapse.
• Some types of sudden roof leaks leading to structural rot—if the leak started because of a covered peril like a wind storm.

But there’s a catch: insurers want proof. They’ll ask for pictures, repair histories, and sometimes even a report from a licensed adjuster or engineer.

The numbers make a difference too. According to the Insurance Information Institute, only about 8% of all property claims in the U.S. each year are for water damage and freezing, while claims for other types of structural issues are even less common—meaning insurers see these as relatively rare and serious.

If you’re ever unsure, don’t guess. Call your agent and ask if the damage fits the claim rules. You’ll get a straight answer and you won’t waste time with paperwork for stuff that’s not covered. For anything questionable, it’s often worth getting a pro inspection to back up your story.

The Usual Exclusions: When You're Out of Luck

This is where most people get tripped up: the routine reasons insurance doesn’t cover structural damage. For one, wear and tear isn’t covered. If your foundation has been slowly cracking for years or your walls are sinking, insurers just call that “maintenance” and leave you with the bill. They figure it’s a homeowner’s job to keep up with repairs before things get bad.

Then there’s the big one—earth movement. Stuff like earthquakes, landslides, and even soil settling over time is nearly always excluded from basic policies. There are special earthquake or flood insurance add-ons, but most folks skip them until it’s too late. Even if your area seems safe, check your policy; sometimes “earth movement” even includes damage from nearby construction shaking the ground.

Water is sneaky too. If flooding from a storm, overflowing river, or groundwater rising up destroys your foundation, your regular policy probably won’t help. Flood insurance is totally separate. Only sudden, unexpected water events—think a burst pipe—make you eligible for a standard claim.

Tree roots and poor construction are two more deal-breakers. If a huge tree root pushes into your slab, or the contractor messed up the original build, insurance companies usually shrug. They call these “foreseeable risks” or “construction defects”—stuff they expect you, or the builder, to handle.

• Foundation cracks from normal settling? Not covered.
• Damage from neglect? Nope.
• Problems tied to faulty design or materials? You’re on your own.
• Floods, earthquakes, and landslides? Not unless you have a special policy.

If you’re not sure, ask your agent for a straight answer, and get it in writing. It’s better to quiz them now than argue later when the repair bill lands in your lap.

Smart Steps to Boost Your Claim

If you’re dealing with structural damage and thinking about filing an insurance claim, don’t just cross your fingers and hope for the best. The way you document damage, communicate with your insurer, and handle repairs can make or break your case. Here's what works in the real world when you're trying to get insurance to step in.

• Document everything from the start. Take clear, well-lit photos of the damage from all angles. Don’t forget wide shots plus close-ups showing those cracks or areas where things are shifting. If you can, snap some “before” photos for proof of comparisons.
• Get a pro on your side. A detailed inspection report from a licensed structural engineer or foundation expert packs way more punch than your own opinion. Insurers take these reports seriously, especially if they explain what caused the issue.
• File fast and follow up. Most policies require you to report damage in a “timely” manner. Waiting too long gives your insurer an excuse to say no. File your claim as soon as you spot big warning signs, then follow up politely but firmly and keep records of every call, email, or letter.
• Never start repairs until you get the green light. If you jump in and fix things before the adjuster sees the damage, you risk getting your claim denied. Your adjuster needs proof of what happened.

Don’t forget: Your insurance company is a business. How you communicate matters. Be honest but confident, and don’t let them rush or pressure you. If they offer a low payout or deny your claim, you don’t have to just accept it. You can ask for a reinspection or even hire a public adjuster to represent you.

Here are some quick stats that might give extra peace of mind:

No one likes dealing with paperwork, but a little extra effort upfront can mean the difference between a denied claim and thousands in repairs covered. Always read your policy’s fine print, and if you’re unsure, call your agent before making any big moves.