Does Home Insurance Cover Garage Damage?

When people think about home insurance, they often picture their living room, kitchen, or roof. But what about the garage, the place where you store tools, park your car, or even run a side hustle? Many homeowners assume it’s fully covered, only to discover gaps when damage occurs.

This guide will clear up the confusion. From storm damage to theft, does home insurance cover garage damage? When garage-related issues are covered and when they’re not. Whether your garage is attached or freestanding, understanding the fine print can save you from costly surprises later.

Let’s dive into what happens when your garage takes a hit.

What Counts as a Garage in Home Insurance?

Not all garages are treated equally when it comes to home insurance. The classification of your garage can affect whether it’s covered under your policy and to what extent.

Most insurers make a clear distinction between attached and detached garages:

• The attached garages are directly connected to your home and usually fall under the dwelling coverage (Coverage A). Damage to the structure is typically treated the same way as damage to your kitchen or bedroom walls.
• Detached garages, on the other hand, are considered other structures (Coverage B). This means they’re covered separately, often only up to 10% of your home’s total coverage limit unless you increase it.
  

Example: If your home is insured for $300,000, your detached garage might only be covered for up to $30,000, whether that’s enough depends on its size, materials, and contents.

It’s essential to check your policy and understand how your garage is listed. A simple difference in how it’s categorized could change how your insurer handles a claim.

Does home insurance cover the garage?

In most standard homeowners insurance policies, such as HO-3 or HO-5, garage damage is typically covered. Still, coverage depends on the type of damage, the garage’s structure, and the cause of the incident.

Here’s how it generally works:

• Covered perils: If your garage is damaged by fire, lightning, windstorms, hail, vandalism, or theft, you’re likely covered. These are known as “named perils” and are commonly included in most policies.
• Attached garages: These are treated as part of your main home. If a tree falls on your attached garage during a storm, your insurer should cover the repairs just like it would for any other room.
• Detached garages: Still covered, but typically under the coverage of other structures (Coverage B). This means the protection limit is lower unless you’ve added extra coverage.
• What’s inside: Standard policies also cover personal belongings stored in the garage, such as power tools or lawn equipment, under Personal Property Coverage (Coverage C), but with certain limits.
  

Important detail: If the damage was caused by something excluded, such as flooding, pests, or gradual wear and tear, it won’t be covered unless you have a specific endorsement or a separate policy. Knowing the specifics of your coverage helps you avoid assumptions that could result in thousands of dollars in costs.

What Types of Garage Damage Are Not Covered?

While homeowners’ insurance can protect your garage in many situations, there are several cases where claims may be denied. Knowing these exclusions ahead of time can help you avoid frustrating surprises.

Here are common types of garage damage that typically aren’t covered:

• Wear and Tear or Neglect: Damage caused by age, poor upkeep, or delayed maintenance, such as rotting wood, rusted doors, or sagging structures, is typically excluded from coverage. Insurance covers sudden and accidental events, not long-term deterioration.
• Floods and Earthquakes: Standard policies don’t cover damage from floods or earthquakes. If your garage floods during heavy rain or is cracked by seismic activity, you’ll need separate flood or earthquake insurance to get compensation.
• Business Use Without Endorsement: If you’re running a business out of your garage, like auto repair, woodworking, or e-commerce storage, any damage related to that activity might be excluded. You’ll need a special rider or commercial policy for coverage.
• Mold, Rot, and Infestations: Damage caused by mold, rodents, termites, or fungus is often excluded unless it results directly from a covered peril (like a pipe burst). Prevention and maintenance are key here.
  

Tip: Always read the fine print in your policy or speak to your agent before assuming you’re covered. Small details, such as how you utilize the space, can make a significant difference in claim outcomes.

Coverage for What’s Inside the Garage

Many homeowners focus on the garage structure, but what about the tools, bikes, or seasonal gear stored inside? Fortunately, home insurance often extends personal property coverage (Coverage C) to items in your garage. However, there are limits you should be aware of.

Here’s how it typically works:

• Standard belongings, such as lawnmowers, snowblowers, sporting equipment, or power tools, are typically covered if they’re damaged or stolen due to a covered peril, including fire, theft, or a storm.
• Coverage caps apply. Most insurers place sub-limits on specific categories of items. For example, tools might be capped at $2,500 unless you schedule them separately.
  
• High-value items, such as e-bikes, custom toolsets, or collectible gear, may require additional endorsements to be fully protected. If they exceed your standard personal property limit, you could be underinsured.
  
• Items tied to vehicles, like a car stereo or aftermarket parts, are usually not covered under home insurance—those fall under your auto policy instead.
  

Garage Damage from Vehicles: Does Home Insurance Cover Damage?

When cars and garages collide, figuring out who pays for the damage isn’t always straightforward. It depends on how the accident occurred, who was driving, and where the damage took place.

Here’s how different scenarios play out:

• You accidentally drive into your garage wall: In this case, your homeowner’s insurance may cover the damage to the garage itself, while your auto insurance might help with damage to your car. However, you’ll likely be responsible for both deductibles.
• A guest or delivery driver crashes into your garage: If someone else damages your garage with their vehicle, their auto insurance is typically responsible for covering the cost. You may need to file a claim through their insurer.
• Vehicle damage caused by garage failure: If your garage door suddenly malfunctions and drops on your car, your home insurance usually won’t cover the car damage. Auto insurance is needed here.
• Garages used for business or storage of commercial vehicles: Damage linked to business activities or commercial vehicles may be excluded unless you have additional commercial or business-use coverage.
  

Upgrades, Additions, and DIY Work: Are You Still Covered?

Making improvements to your garage can add value to your home, but not all upgrades are automatically covered under your existing insurance. Whether you’ve added bright lighting, converted the space into a gym, or installed an electric vehicle (EV) charger, it’s essential to understand how these changes impact your coverage.

Here’s what to consider:

• Unpermitted renovations can create problems:  If you made structural changes without the proper permits or inspections, your insurance company might reject a claim related to those upgrades.
• Material upgrades may increase rebuild costs: Installing custom cabinets, a finished floor, or insulation can raise the value of your garage. If you haven’t updated your policy to reflect those changes, you may not be fully covered in case of damage.
• DIY work can complicate claims: Work done without the supervision of licensed professionals could be considered a liability if it leads to fire, water damage, or structural failure. Some insurers may deny coverage if poor workmanship is found to have caused the issue.
• New features may require endorsements: Installing solar panels, electrical upgrades, or an EV charging station? These often need to be disclosed and sometimes require additional coverage.
  

What to Do If Your Garage Is Damaged?

When your garage is damaged, quick and careful action can make the insurance process smoother and help you avoid delays or denied claims. Here’s a step-by-step guide to follow:

• Step 1: Document the damage immediately: Take clear photos or videos of the damage from multiple angles. Include both close-up and wide shots to show the full extent. Don’t start any repairs until everything is documented.
• Step 2: Secure the area: Prevent further damage by boarding up broken windows, covering holes with a tarp, or closing off unsafe sections. Just make sure these fixes are temporary and don’t interfere with inspections.
• Step 3: Review your policy: Review your homeowners insurance declarations page to determine what is covered. Pay close attention to exclusions and limits related to garages or outbuildings.
• Step 4: Contact your insurance company. Report the damage as soon as possible. Provide photos, details about what happened, and a list of any damaged items inside the garage. Ask what the next steps are and whether an adjuster will visit.
• Step 5: Obtain Repair Estimates: Collect at least two or three estimates from licensed contractors. These will be helpful when negotiating your claim payout and ensuring you receive a fair settlement.

Conclusion

Your garage might be out of sight, but it shouldn’t be out of mind when it comes to home insurance. Whether it’s attached or detached, understanding how it’s covered and what’s not can save you from costly surprises. From structural protection to the tools and gear stored inside, every detail matters.

The best way to stay protected? Review your policy, update it when changes are made, and consult with your insurer about any applicable limits or exclusions. A little awareness today can go a long way in keeping your garage and everything in it safe tomorrow.

Frequently Asked Questions (FAQs)

1. Is my garage covered if a tree falls on it during a storm?
   Yes, most homeowners’ insurance policies cover damage caused by falling trees, including damage to attached or detached garages, provided the tree fell due to a covered peril, such as wind or lightning.
2. Are my tools and equipment in the garage covered?
   Yes, but with limits. Tools, lawn equipment, and other belongings are typically covered under personal property coverage. However, if they’re high-value, you may need extra protection or scheduled coverage.
3. Does home insurance cover garage door repairs?
   It depends on the cause. If the door was damaged by a covered event, such as a storm or vandalism, insurance may assist. However, wear and tear or mechanical failure are usually not covered.
4. What if I converted my garage into a living space? Am I still covered?
   Only if the conversion was permitted, inspected, and reported to your insurer. Unreported changes can lead to denied claims or gaps in coverage.
5. Is damage to my car inside the garage covered by homeowners’ insurance?
   No. Your vehicle is only covered by your auto insurance, even if the damage happened inside your garage due to fire, collapse, or theft.
6. Can I increase coverage for a high-value detached garage?
   Yes. You can raise the “other structures” coverage limit or purchase an additional policy or endorsement to match the value of your garage.
7. Do I need extra coverage for storing business items in my garage?
   Yes. Personal property coverage typically excludes items related to a business. You’ll need commercial or business property coverage for complete protection.