Your Insurance: Do I need the insurance plan the water company is trying to sell me?

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If you are a homeowner, you’ve probably received a letter from your water company soliciting insurance to cover waterline repair costs. You might have even opened it, wondered if you need it, then tossed it in the trash until they sent another one in a few months. That’s OK, it’s not an easy call for most homeowners to make. Inquiries regarding sewer and waterlines are some of the most common questions we receive when these mailers are sent out. We’ll answer questions and provide some guidance below.

Do I need this sort of coverage?
A broken sewer line in your yard can easily cost over $10,000 to excavate and repair. For that reason, service line coverage is something our agency recommends to all our homeowners. There are better ways however to get that coverage then the plan offered by the water company.

What about my homeowner’s insurance, doesn’t it cover that sort of thing automatically?
A broken sewer line or waterline in your yard would not usually be covered under a standard homeowner’s policy without having a special endorsement added. Standard coverage is usually from the foundation walls inward and is not extended from the house to the property line or the street. Homeowners should at the very least be made aware of their options and what is and is not covered on their policy so they can make an educated decision on the coverage they need.

Is there a better way to get coverage for all of my home’s service lines, not just the waterline?
Yes, most home insurance policies have some form of “Buried Utility Line Coverage” or “Service Line Coverage” available as options. It’s a special coverage item that is not usually included automatically. Coverage through your homeowner’s policy is superior to the plan offered by the water company since it covers all of your utility lines including sewer, water, cable and not just water specifically. Coverage is usually less expensive when obtained this way and the limits of coverage are usually higher.

Working with families as their trusted insurance advisor is what we do every day. Connect with us for an insurance review to see if service line coverage is available for your home.

Flury-Hinderks Insurance is an Independent Insurance Agency located in Overland Park and is a trusted advisor for thousands of families in Johnson County. Contact Flury-Hinderks Insurance today for a comprehensive insurance review.