Can you burn Dichro?

Yes, dichro can easily be burned in the glass.  If you see white that is not sparkly, that is burnt dichro.

what to do if water gets inside my SSV?

If water gets inside your SSV, DBV or any desktop vaporizer, UNPLUG it immediately!!!

Remove the base and get all the water out that you can.  Use some compressed air to help get any water out that might be on the board.  If you need to get it repaired, we can do that for you here.