Buried utility lines coverage, also known as underground service lines coverage, is a relatively new option for homeowners insurance policy holders. We don't often think about the things we can't see, but there are lines running under your property that connect your home to energy, cable, etc. Homeowners are responsible for the underground service lines that run from the street to their home. The below image from Travelers Insurance is a helpful diagram of all of the various lines that homeowners have responsibility for.
Without coverage, the cost to dig up the line and repair can cost between $5,000 and $12,000. This makes the low cost of the coverage very easy to swallow. For example, Travelers has added this as an option for existing homeowners policy holders at a cost of $49/year. Many other carriers offer the coverage as an endorsement in an amount similar.
Some but not all covered causes of damage are as follows:
- Ground freezing
- Collapse
- Tree roots invading lines
- Digging
- Corrosion/Deterioration/Rust
- Mechanical breakdown
- Wear and tear
This endorsement or supplemental coverage to your homeowner insurance policy will provide coverage for the damage to the affected utility line and can also cover excavation and repair costs.
Homeowners insurance can sometimes be more complicated than initially expected. Preparing for all of the potential unknowns can be difficult, that is why having an agent can be so crucial. Unsure if you have coverage for underground service lines? It may be listed on the declaration page of your policy, but never hesitate to contact your customer service representative at Moses Insurance to confirm. Since this coverage is relatively new, we always recommend double checking!