The resulting damage is a different than the initial damage.For example, if water damage resulting from a broken pipe, or appliance is listed in your wording as covered, then you may be compensated for a portion of the damages caused even though the deteriorated pipe replacement or a new appliance would not be covered. This is an example the cause of the damage not being covered, but the resulting damage being covered.
In the United States, those individuals who are affected by widescale flooding may have the ability to apply for government and FEMA grants through the Individual Assistance program. On a larger level, businesses, cities, and communities can apply to the FEMA Public Assistance program for funds to assist after a large flood. For example, the city of Fond du Lac Wisconsin received $1.2 million FEMA grant after flooding in June 2008. The program allows the city to purchase the water damaged properties, demolish the structures, and turn the properties into public green space.