Cosmetic Damage Exclusion

What is Cosmetic Damage?
Cosmetic damage refers to damage that affects the appearance of property but does not
compromise its functionality. A common example of cosmetic damage is hail creating dents or scratches on metal roofing or siding. While such damage may be unsightly, if it does not impact the usability, safety, or soundness of the structure, the damage is considered cosmetic only.

What is a Cosmetic Damage Exclusion?
A Cosmetic Damage Exclusion is a clause in a farm insurance policy that specifically excludes coverage for damage that is cosmetic only. Under this exclusion, your insurer will not pay for repairs that are purely aesthetic. Cosmetic Damage Exclusions are commonly placed on agricultural buildings with metal roofs or siding, as these can be susceptible to dings and dents that do not otherwise compromise their structural integrity. However, once damage affects the usability, safety, or soundness of a structure (for example, hail damage allows water to penetrate the roof of your barn), the damage is no longer considered cosmetic, and the insurance company would pay to repair or replace the damaged property, up to the limit of insurance.