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From a policy: 'But we do not cover wear and tear, or loss or damage caused by the escape of liquid occurring as a result of a gradual process of bursting, leaking, splashing, dripping or overflowing over a period of time when you could reasonably be expected to be aware of this...

In a way you can understand insurers doing that where it is not obligatory for builders to meet as a bare minimum, the BCA, Australian Standards and manufacturers installation guidelines. All care and no responsibility and the government BSAs are diplomats.