My commercial property insured found that the floors in their commercial building were becoming soft. They investigated in the crawl space under the floor to find the problem. There was a leak in the hot water pipe which caused moisture and humidity, damaging the floor above. Damage is $123,000. The insurance company has denied the claim due to the repeated seepage or leakage over a period of more than fourteen days exclusion. The insured could not hear or see the water leak and so had no way of knowing what was going on under the floor.

Kansas Subscriber

This type of loss is the very type meant to be excluded by the commercial property policy's repeated seepage or leakage exclusion.