What does Category 3 Water mean? Read on to discover the definition & meaning of the term Category 3 Water - to help you better understand the language used in insurance policies.
Category 3 Water
Water that is grossly contaminated with pollutants including fungi and bacteria. Universal exclusions in property and liability insurance policies for losses related to fungi/bacteria automatically apply to Category 3 water losses because of the bacteria and/or fungi in the water. Insurance coverage gaps for losses associated with Category 3 water can be filled using the same risk management tools and environmental insurance products created for fungus/mold risks in 2003.
We hope the you have a better understanding of the meaning of Category 3 Water.