A policyholder files a claim for water damage. Investigation reveals the damage resulted from a slow leak that occurred over 6 months, not a sudden event. How does this affect coverage?

SUDDEN AND ACCIDENTAL vs GRADUAL DAMAGE: Most property policies cover water damage from sudden, unexpected events (burst pipe, appliance failure) but EXCLUDE: Gradual leaks over time; seepage; rot and decay from ongoing moisture; continuous or repeated seepage over weeks or months;

Policy language: Look for exclusions including 'continuous or repeated seepage or leakage,' 'gradual deterioration,' 'faulty maintenance,' and 'wear and tear'.

Adjuster investigation: Determine timeline of damage: was this a sudden pipe burst or a slow leak over months? Water staining patterns, mould growth, and structural deterioration all indicate duration.

Homeowner knowledge: Even if the homeowner didn't know, gradual damage is typically excluded — the exclusion applies based on the nature of the damage, not the insured's awareness.

Mould extension: Mould resulting from an excluded gradual leak is also typically excluded or subject to sublimit; document thoroughly.