South Africa is facing a water crisis, from drought and ageing pipes to failures in infrastructure. As a result, households in the country are forced to navigate a complex risk landscape of water outages, leaks and supply disruptions.
Homeowners sometimes assume that water-related damage is covered by insurance, especially that related to infrastructural incidents, according to an article carried on Caxton Network News. However, there could be a hidden financial impact that may not be covered by insurance, such as repairing potentially expensive water-related damage, especially when it involves structural work or repeated plumbing failures.
“Some insurers charge an additional premium for wear-and-tear cover, while others distinguish between pressurised and non-pressurised pipes, with non-pressurised pipes typically not covered at all,” the article stated.
“There is also the risk of accidental damage if taps are not turned off during periods when there is no water.”
While insurance may cover the bursting of pressurised pipes and leaks within the insured property from the water meter line, what is outside of that marker is the municipality’s responsibility.
A homeowner’s changing risk
According to Caxton Network News, as infrastructure challenges in South Africa continue to mount, “homeowners have to take a more active role in managing risks that were once considered external”.
“This includes routine maintenance checks, monitoring for early signs of leaks and ensuring that plumbing systems can handle fluctuating pressure,” the article said.
“It also means taking a closer look at insurance cover, not just as protection against major disasters, but as a tool for navigating everyday risks.”