When people think about home insurance, major events like storms, bushfires, or theft often come to mind.
In reality, most claims in Australian homes are caused by everyday incidents inside the home — often unexpected, but largely preventable.
Understanding these risks can help you take simple steps to reduce disruption and ensure your insurance continues to protect what matters most.
Water damage: More common than you think
Water damage is widely recognised as one of the most frequent causes of home insurance claims in Australia.
Insurer data shows that water-related incidents can account for around a quarter of home insurance claims, making it a leading causes of loss for Australian households.1 Broader consumer insights also confirm that water damage is among the most common types of claims made by Australian households.2
While extreme weather contributes to large volumes of claims nationally — with hundreds of thousands of claims lodged in major weather years — many water damage incidents originate inside the home.
Common causes of water damage include:
- Burst or leaking pipes
- Worn or deteriorating flexi hoses
- Appliance failures or overflows
Insurer claims data suggests burst or blocked pipes alone account for a significant proportion of internal water damage incidents.
What you can do to prevent water damage
- Regularly inspect visible pipes and flexi hoses for signs of wear or corrosion.
- Replace older hoses proactively, especially in kitchens and the laundry.
- Ensure gutters and downpipes are clear, particularly before heavy weather.
- Know where your water main is and how to turn it off in an emergency.
Accidental damage: The leading cause of everyday claims
Alongside water damage, accidental damage is another leading cause of home insurance claims. Recent data from Australian insurers reveals that accidental damage can account for more than one‑third of home insurance claims, making it the leading category in some portfolios.2
Common everyday situations that lead to accidental damage claims include:
- Dropping or damaging electronics
- Spills affecting laptops, TVs, or other devices
- Breakages during routine household activities
The same dataset shows water and storm damage categories follow closely behind, reinforcing that most claims arise from ordinary events rather than major disasters.
What you can do to minimise accidental damage
- Store and position valuables safely, particularly in high traffic areas.
- Supervise high risk activities, such as DIY or moving heavy items.
- Check your insurance policy to see if it includes accidental damage cover, as this is often an optional extra.
Why it's important to check your home and contents cover
Home and contents insurance is designed to protect you against sudden and unexpected events. However, it may not cover damage caused by gradual wear and tear, lack of maintenance, or preventable issues.
In some cases, claims are declined not because people don't have insurance, but because the cause of damage falls outside the policy's coverage.
This means regular checks and upkeep play an important role in reducing risk and avoiding issues that may not be covered.
It's also important to review your policy from time to time. The terms, conditions, and limits can vary between policies and may change at renewal.
Taking a few minutes to review what is included and excluded can help you avoid unexpected surprises if you need to make a claim.
Understanding accidental damage cover
Accidental damage cover can vary between policies. In some cases, it's included automatically, while in others, it may be an optional add-on.
If included in your policy, accidental damage typically covers sudden, unintended incidents such as:
- Damage to your home, including walls, ceilings, doors, and fixed fittings
- Damage to contents, such as carpets, furniture, and household electronics
- Unexpected breakages, such as broken windows or damage caused by dropping heavy items
Because this type of cover isn't always standard, it's worth checking whether it's included in your policy and whether it reflects how you use your home.
A simple reminder
Many of the most common risks to your home are not dramatic or unexpected. They are everyday issues that build over time or happen in an instant.
Taking a proactive approach to maintenance and understanding your cover can help ensure you're well protected when it matters most.
If you're unsure whether your current policy reflects your home and lifestyle today, consider reviewing your cover or speaking with your Gallagher broker.
