Will Insurance Cover Foundation Repair?

 

Insurance will cover a flood, an earthquake, hurricanes, tornados, falling trees, and even when pipes burst. But will it cover expansive soils? In this article we will go over what is and is not covered in regard to foundation repair according to several major Insurance companies. It is a hope that, by the end of this article, you will have all the necessary information to make an informed decision about how to manage your home. For the purpose of this article we received information from the following insurance companies: Progressive, Farmers, and Allstate. This is in no way a promotion of their brand, nor did they reach out to us for advertising.

 

Will Insurance cover this repair? The short answer is “It depends.”

 

When it comes to insurance, it's important to understand the purpose for insurance as it pertains to your home. Most foundation jobs are repairs that are needed after years of settling, soil heave etc. Insurance is there to cover an incident that was out of your control or happened immediately. What this means is If your home catches fire, gets damaged by storms, or a major pipe burst or explodes, then repairs are usually covered under general insurance.

 

The key words are Sudden and peril.  Since most foundation repairs involve issues that happen over time, it falls under the umbrella of general maintenance that the homeowner takes responsibility for, and is not covered. Expansive soils happen overtime so insurance won’t cover that type of earth movement. 

 

  

 

Is a home foundation inspection necessary before buying a house?

 

If your foundation is damaged by a tree falling, adverse weather, fire or pipe bursts there is a strong chance the insurance will cover the repairs. Reach out to your insurance agent for clarification on how you’re covered. Faulty construction most likely won’t be covered under insurance as it's up to the buyer to make sure inspections are done before purchasing. In other words: Buyer beware. 

 

How can I prevent foundation problems in my house?

As a homeowner it’s important to be proactive with frequent maintenance. Preventative measures are always the best practice to ensure you don’t run into costly repairs not covered by insurance. Don’t plant trees or vegetation too close to your home, if you plan on cutting down existing trees you may deal with a large influx of moisture accumulation so have a plan to remediate that before cutting down existing trees. Have a rain gutter system installed to help divert the water as far away from your home’s foundation as legally allowed by local municipalities.

 

  

 

If you are dealing with a foundation issue that isn’t covered by insurance, just know that if the costs for repair are too high, many foundation repair companies have financing available. 

 

Can rain damage your home's foundation?

A rainy day fund is always a good way to help with the costs associated with these types of problems. Lets face it, sometimes insurance doesn’t cover everything or even most of the problem. Out of pocket costs are a frequent thing, so plan accordingly. You’ll be glad you did. 

Conclusion: Will Insurance Cover Foundation Repair?

So now that you know about what is and isn't covered by insurance take a quick walk around your property. Do you see any foundation problems? Are there opportunities to put preventative measures like rain gutters into effect? If you have any questions or current foundation concerns, reach out to us. Call us, and we will send one of our foundation experts out to help you find the right solution.