DOES YOUR HOMEOWNERS INSURANCE COVER FOUNDATION REPAIR?
February 22, 2024
The answer is… Complicated
Damage to your concrete foundation (caused by cracks, settlement, or anything else) not only impacts the structural integrity of your home, but can be expensive to repair.
You may think your homeowner’s insurance will cover the bill, but you could be in for an unpleasant surprise. Read on to find out what you need to know, before it’s too late.
Firstly, check your insurance policy.
Most insurance providers consider the conditions that contribute to foundation damage to be avoidable with home proper maintenance and by controlling conditions that can lead to flooding or inadequate drainage.
And most policies typically exclude other common causes of foundation damage, such as poor construction, or soil expansion and contraction.
A typical homeowner’s policy only covers you against specific perils identified in the policy. So check your policy’s declarations page to see exactly what is named and covered.
Some risks may be covered, such as a tornado, explosion, or fire. If your foundation damage is the result of one of the covered risks, your homeowner’s policy may reimburse you for the repairs up to your coverage limits.
Some common risks to look for when reviewing your policy are:
- Earth movement coverage
- Flood insurance
- Ground cover collapse coverage
Consider adding supplemental coverage
Depending on where you live and your exposure conditions, you may be able to purchase supplemental insurance for perils not covered by your basic homeowner’s insurance policy.
Many major insurance providers will let you purchase a dwelling foundation rider which can cover specific, limited damages, such as those caused by water seepage or a burst water pipe. Some policies also offer supplemental coverage for damage caused by earthquakes, flooding, and sewer backups.
But any foundation damage caused by settling, shifting, or earth movement is generally excluded from your insurance coverage.
Do your foundation have a warranty?
Your insurance may not be of much help if your foundation problems are caused by defective construction or the use of poor materials. However, some builders offer foundation warranties that cover labor and materials should you find any structural defects within a specified amount of time.
If your home is fairly new, check to see if you have a foundation warranty. If you do, check that you’re still within the specified time limit, and read it carefully to see what’s covered.
If you’re buying a home, always have the foundation inspected by a professional. Identifying any problems and and ensuring they are addressed before you assume ownership could save thousands of dollars and a lot of stress.
Shield Foundation Repair offers pre-sell and pre-buy foundation inspections.
Additionally, if you had foundation work done in the past, check with the repair company to see whether a warranty was given. For instance, Shield offers a 25-year service warranty.
Be proactive
If you’re having foundation problems and notice the initial warning signs of foundation damage, it’s important to get the problem repaired as soon as possible.
By addressing these issues early, you could avoid more serious structural problems down the road.
If a foundation issue isn’t repaired quickly and causes additional damage to your home, your insurer could refuse to pay the claims for the repair costs.
What if my insurance won’t cover the costs?
If repairs aren’t covered, and you don’t have enough money in your emergency fund, there are other ways to get help paying your bill. It doesn’t mean you have to put off getting your foundation fixed.
Contact us to find out more about our easy financing option and payment plans.
If you’re seeing early warning signs, the best thing you can do is call Shield Foundation Repair today at 780 760 4900.
We have the tools, expertise, and experience to protect what matters most.
Source – Original content drawn in part from:
https://www.concretenetwork.com/concrete/foundation_repair/insurance.html
