The system and method for detecting water and/or gas leaks by monitoring usage patterns is described. In one embodiment, the existence of a leak is detected by looking for usage patterns wherein water or gas is always being used, at least at a low rate. A leak is indicated if usage does not drop to zero, at least for a period of time, during a given time interval (e.g., during a 24-hour period). The severity of the leak is indicated by the minimum amount of usage during the given time period. In one embodiment, the leak detection system is provided in connection with an Automatic Meter Reading (AMR) system.