If My Power Goes Out, Can I Be Reimbursed for Spoiled Groceries? Here's What's Covered

Power outages happen, but if it's out long enough to spoil your groceries, it's more than just inconvenient. Whether a storm, fallen tree, or power grid problem is to blame, having to toss food as a result is a pain for some and a significant financial burden for others. Fortunately, there’s help available for homeowners and renters who have had to discard spoiled groceries after a power outage. Here, experts explain how to be reimbursed for the loss.

What to Do in an Extended Power Outage

Most of us know how to handle a standard power outage: You grab your candles, keep your fridge closed, and conserve your phone and laptop battery. In many cases, an outage of a few minutes or hours is no big deal, but if an outage lasts beyond a few hours or even days, you need to take extra steps. 

If you’re one of the lucky ones with a generator, plan A is to hook it up to key appliances such as your deep freezer or refrigerator. If you don’t have a generator, then it’s time to get creative by moving fridge items to your freezer, where the temperature is lower and the frozen items can act as ice blocks. You can even store food outside if it’s winter.

Preparations for a Claim

Let’s say you’ve done all you can to preserve your groceries, and you’re dealing with spoilage. In that case, it’s time to prepare for a claim. 

“While policy terms can differ considerably, the biggest factors are whether the power outage stems from a covered cause and whether you’ve documented your losses clearly,” says Katie Irey, a senior vice president at Allstate. 

“Insurers need documentation. Snap photos of the spoiled food before tossing it. Write down what was lost and its estimated value,” says Kara Credle at Guardian Service. “If you have receipts, great. And keep a record of the outage itself: emails from your utility or even a screenshot of the outage map can go a long way.”

“Document everything as soon as you can to avoid delays. Take photos of the spoiled food, make a list of what was lost, and estimate the cost,” agrees Katie Irey at Allstate. “If you bought high-value items like specialty meats or seafood, receipts could help; digital receipts or records from grocery apps usually count, too.”

On top of that, you’ll want to make note of when the outage started and ended, Irey adds. “Save any alerts or messages from your power company,” she says.  

What’s Covered

Not all insurance policies cover food spoilage during a storm. Familiarize yourself with your policy details so you’re prepared. If you don’t have coverage for spoiled food now, consider adding it. “Coverage and availability can vary by state,” Irey says. “Some insurers offer optional add-ons that boost this coverage.”

Once the stress of a power outage has passed, contact your insurance company. “The sooner you report the loss to your insurer, the smoother the claims process will be,” Irey says. “If you fail to provide documentation, that can delay handling or reimbursement for your claim.”

In general, policies provide coverage for food if the power outage was the result of a natural occurrence, such as a storm that damaged a power source outside of your home, Irey says. These policies typically reimburse you for up to $500 worth of food, with some exceptions.

Your Deductible and Policy Coverage

“Your deductible may apply. So, if your deductible is $1,000 and your only loss is $300 worth of groceries, you probably won’t be reimbursed,” Irey adds. 

If the power outage is specific to your home, say a lightning strike damages your electrical system, things change. “Your personal property coverage limit may apply instead, after application of the deductible,” Irey says. 

There is some good news, Irey says: “Filing a food spoilage claim usually won’t impact your premium.” However, even if your loss is covered, you might decide that filing is more work than it’s worth. 

“You’d have to submit an insurance claim, talk to an insurance adjustor from the insurer, and there’s a risk that your claim could cause your premium to rise or create a history of claims that may make it harder to get insurance in the future,” Credle says.

What’s Not Covered

All insurance policies come with fine print, and it’s possible your food loss isn’t covered. “Insurance typically doesn’t cover outages caused by routine maintenance, utility equipment failure, or non-payment of a utility bill,” Irey says. “Coverage may also depend on whether the outage started on or off your property. Not all policies include off-premises outage coverage; it may require an endorsement, subject to state availability.” 

Even if you qualify for coverage, it might not be worth it to cash in. “Don’t forget you’ll still need to meet your deductible,” Irey says. 

“Two big reasons people aren’t reimbursed are the outage wasn’t from a covered event or they didn’t have enough documentation,” Credle says. “If the power stayed on but your fridge gave out, that’s usually chalked up as a maintenance issue. Home or renters insurance typically won’t cover spoiled food from a dead appliance, unless it was caused by a power surge or lightning strike.”

Other Options

If you find that your current policy doesn’t cover your loss or you don’t want to meet your deductible, there might be other options. 

“If your homeowners or renters insurance doesn’t cover the loss, check for alternative options like FEMA assistance or reimbursement programs offered by your utility provider,” Irey suggests.

While the Federal Emergency Management Agency says it does not typically cover food loss, it can sometimes link you to local organizations that do.