Water damage insurance claims in Texas

The deadlines your insurer has to meet

Texas sets clear claim deadlines in Chapter 542 of the Insurance Code, often called the Prompt Payment of Claims Act. Once you report a claim, the clock starts.

Surplus lines insurers get longer: 30 business days to acknowledge a claim and 20 business days to pay. If you aren't sure what kind of insurer you have, it's on your declarations page.

Sudden versus gradual

This is the line most Texas water claims turn on. TDI says most homeowner and renter policies cover sudden and accidental water damage, with examples like a burst pipe, a toilet overflow or a broken washer hose. Policies usually don't cover damage from gradual leaks or seepage, and that includes the mold that comes with them.

So the story of the leak matters. A pipe that split in a freeze is a clear case of sudden loss. A slow drip under the sink that rotted out the cabinet over a year usually isn't. Slab leaks fall somewhere in between, and the answer depends on your policy. TDI's home insurance guide lists damage to foundations or slabs among the optional coverages a policy can add.

Sewage that comes up through a drain is its own case. TDI's home insurance guide lists backup of sewers or drains among the common endorsements, the add-ons you can buy to extend a policy. More on the sewage backup cleanup page.

Rising water from outside, like a flash flood, is a different matter. TDI says most home policies don't cover flood damage, so it needs a separate flood policy.

Making the claim go smoothly

1. Report it quickly and write down the claim number.
2. Take photos and video before cleanup starts. Don't throw out damaged items until the adjuster says it's OK.
3. Make temporary repairs to prevent more damage, like getting standing water out, and keep every receipt. TDI says not to make permanent repairs until the adjuster has seen the damage.
4. Keep a log of every call: the date, who you talked to and what they said.
5. If you can't stay in the house, ask your insurer about living expenses. TDI says most policies cover some of those costs when you can't live in your home, up to your policy's limit.
6. Get more than one written estimate and compare it with the adjuster's.

The deductible rule

Texas law makes it illegal for a contractor to offer to waive your deductible or promise to rebate it, according to TDI, and your insurer can ask for proof that you paid it. If a company says they will "take care of your deductible," walk away.

This page sums up Texas statutes and TDI guidance as of October 2026. It isn't legal advice, and your policy wording is what decides your coverage. For a dispute over money, talk to a Texas attorney or a licensed public adjuster.

Sources: Texas Insurance Code ch. 542, Texas Insurance Code ch. 542A, TDI, water damage and mold coverage, TDI, help after a storm, TDI home insurance guide. Checked October 2026.