Understanding Home Insurance Risks During Vacation: Survey Insights

A recent survey from PEMCO Mutual Insurance reveals that 51% of residents in Washington and Oregon worry about home incidents when on vacation. However, there is a significant misunderstanding of the actual risks. Earlier findings showed only 24% of Pacific Northwest homeowners accurately identified water damage as the most costly cause of home insurance claims, with many incorrectly believing house fires rank highest.

Statistics indicate that water damage constitutes 45% of interior property damage in U.S. homes, exceeding both fire and burglary incidents combined. In contrast, burglary rates have been declining; the FBI reported 779,542 incidents nationwide in 2024, marking an 8.1% decrease from the previous year. While frequent travel prompts homeowners to install security systems, factors like burst pipes or faulty water heaters tend to result in more significant claims.

Despite the prevalence and financial impact of water damage, less than 10% of U.S. households have leak detection devices, whereas smoke detectors are almost ubiquitous. Insurers are addressing this gap by offering discounts for smart home device installations. Companies such as Farmers, Liberty Mutual, Nationwide, and Progressive provide homeowners with discounts ranging from 5% to 20% for systems that mitigate risks from water leaks, fire, or theft. State Farm and Travelers recognize evidence from systems like Moen's Flo for water damage discount eligibility.

For PEMCO and other regional insurers, these findings present an opportunity to educate and engage policyholders. With many customers anxious about their homes while traveling, there is a chance to promote smart monitoring program enrollments. This requires dispelling misconceptions about which risks primarily drive homeowners' claims costs. As the travel season peaks, brokers have the perfect opportunity to correct these misunderstandings and introduce available discount programs associated with water damage prevention.

Jennifer Hawton, PEMCO's spokesperson, noted that even with smart technology accessibility, many Northwest travelers remain connected to their homes, frequently checking in remotely rather than fully disengaging. The survey also reveals that 57% of residents rely on neighbors, friends, or family to monitor their homes during absences, highlighting that while interest is there, full adoption of smart home technology is still limited, even among those actively taking precautions.