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Is Foundation Covered By Home Insurance

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Check Your Homes Warranty

Is a home’s foundation damaged by lightning covered by insurance?

Although your home insurance wont cover foundation damage caused by defective construction, your homes warranty may. Many homes that are less than ten years old have a foundation warranty offered through the home builder. If your home is relatively new, read your warranty over carefully to find out the specifics.

If youve noticed foundation damage in your home, consult with a foundation expert right away. At Conterra Foundation, you can trust us to get to the bottom of your foundation problem and fast.

Contact us today for more information about our foundation services.

When Foundation Issues May Not Be Covered

Most homeowners policies don’t cover floods or earthquakes. If your foundation damage is a result of either of these disasters, you’ll likely need separate flood or earthquake insurance.

Homeowners insurance typically doesn’t cover wear and tear. Home foundations shift over time, which can lead to cracks in your home’s structure. Like repainting a faded wall or clearing your gutters, keeping tabs on an aging foundation is considered the homeowner’s responsibility.

Knowing what can damage your foundation is the key to protecting it. According to the American Society of Home Inspectors , here are issues that can lead to foundation problems and might not be covered by insurance:

How Much Does Foundation Repair Cost

It depends on the extent of your foundation issue. Minor issues usually only cost a few hundred dollars to repair, but stabilizing a faulty foundation can run as much as $12,000. This is a big part of why addressing foundation problems early benefits homeowners. If you catch the problem before it grows, youll pay less to get it fixed.

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Sinkhole And Mine Subsidence Insurance

Home owners may be at risk of soil movement and not even realize it, for the U.S. Geological Survey estimates that 35 to 40% of the U.S. is vulnerable to sinkholes or mine subsidence issues. The risk of homes in these areas usually is not that the home gets swallowed up by the earth as seen in sensational news stores, but that homes may incur cracked driveways, sidewalks and walls, as well as damaged and cracked foundations.

Insurance for sinkholes and mine subsidence is not offered in all states and is a complicated subject. Consulting a qualified insurance agent may help you become more knowledgeable about the risk and available coverages.

Claims Denied Because Of Failure To Maintain

Is Foundation Damage Covered By Homeowners Insurance : #RSHEngineering ...

In the fine print of an insurance policy there is usually some language that says the insurance company will not pay a claim if the cause of the damage is the result of the home owner failing to maintain certain systems, components or areas of the property itself. Examples:

Tree roots invading a sewer: Often a home owner is expected to maintain his sewer line and part of that maintenance includes keeping tree roots out of the sewer lines. If the sewer line becomes damaged because of the roots then the claim may be denied. One way to help avoid this problem is to have the sewer line videoed from time to time as part of your maintenance program.

Drainage: Should a property owner fail to keep proper drainage around a home and its foundation, then claims for foundation damage due to drainage issues may be rejected.

Basically insurance companies will frequently refuse to pay a claim if the cause of the damage is due to neglect or poor maintenance by the home owner.

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When Foundation Issues Wont Be Covered

Unfortunately, most foundation damage is not covered by your home insurance policy.

For example, common issues involving slight foundation shifting or general wear and tear would not normally be covered. Thats because most home insurers see this type of damage as being avoidable by completing regular foundation inspections and maintenance.

Damage caused by floods or earthquakes is typically only covered if flood insurance or earthquake insurance is purchased in addition to regular home insurance.

Foundation Damage That Homeowners Insurance Doesnt Cover

While homeowners insurance protects your foundation from many sudden accidents, it doesnt cover everything. Some of the common exclusions include:

  • Flood
  • Earth movements, such as landslides or erosion
  • Damage from termites, rodents, or insects
  • Water damage caused by seepage or leaks
  • Damage to the foundation from the weight of snow or ice

Youll likely have to cover repairs to your foundation without assistance from your insurance in situations like:

  • A pipe in your basement causes damage after several years of leaking.
  • Your foundation settles over time and starts to crack from age.

Check your insurance policy for additional exclusions related to your foundation.

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Does Homeowners Insurance Cover Foundation Damage

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  • Does Homeowners Insurance Cover Foundation Damage
  • Standard homeowners insurance covers foundation damage unless it was caused by an excluded peril noted in your policy. Examples of excluded losses include earthquakes, improper drainage, excessive tree root growth and temperature changes. The average cost of repairing a foundation can range from $2,141 and $7,450 according to HomeAdvisor a steep price tag if you don’t have home insurance.

    Keep reading to learn how your home’s foundation coverage works, when you’re covered and when you’re not.

    Find Cheap Homeowners Insurance Quotes In Your Area

    Does Homeowner’s Insurance Cover Foundation Repair? : Homeowner’s Insurance

    Your foundation is covered by homeowners insurance like any other part of your home. Unlike other parts of your home however, many causes of foundation damage are explicitly excluded from standard policies. Familiarize yourself with the many different events that can cause foundation damage, and whether or not your homeowners policy will cover it.

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    In Many Cases The Answer Is Yes

      Your homes foundation is one of the most important parts of its construction. The foundation is the base on which the rest of the house is built. Cracks and other damage might have you feeling nervousfrom the worry over your homes safety to the cost of repairs. Depending on the damage to your foundation, repairing your foundation could come with a hefty bill from your contractor.

      Thats where your homeowners insurance could be a big help. In certain circumstances, homeowners insurance will help cover the cost to repair your foundation. Learn more about homeowners insurance, foundation repair, how to spot foundation damage, and what you can do to prevent it.

      What Can You Do If Your Foundation Crack Is Not Covered

      If your home insurance policy does not cover your foundation cracks, you have limited options going forward. You can either pay for the repairs out of your pocket or prove that the cracks were caused by events covered by your home insurance. Your best bet, in this case, is to approach a foundation contractor. Let them determine the cause of the cracks so you can know whether your claim will be accepted. If your insurance policy does not cover foundation cracks, you can have the contractor repair it at a cost. Also be sure to talk with these local contractors about payment and financing plans you can take advantage of.

      In a nutshell, anything that falls under the umbrella of regular maintenance or seen as preventable wont make the cut into most home insurance policies. Your home insurance should cover you from unexpected damage, especially after significant events like burst pipes, storms, or fires. Even if your home insurance policy does not include foundation cracks, dont let it deteriorate. Remember that the foundation supports one of your key investments: your home.

      Have foundation cracks but not sure how to proceed with them? Get in touch with the foundation repair experts in Indianapolis, IN. Schedule a free foundation cracks inspection and find out what options you have to finance your repairs.

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      How Much Does Fixing Foundation Issues Cost

      Like most other home repairs, the cost of fixing a foundation depends on how big the problem is. Its a good idea to always get several free estimates when considering work on your foundation. Even if the problems small, your contractor will be able to comment on the structural engineers findings and help guide you through the process.

      Most foundation repairs average about $3,500 and arent covered by most homeowners insurance policies. Here are a few common issues and their related costs:

      • Repairing cracks in the foundation: $400 to $3,000
      • Underpinning or lifting a sinking foundation: $1,000 $3,000 per pier
      • Major foundation reconstruction: $3,500 to $35,000
      • Complete replacement of a foundation: up to $40,000

      If youre thinking about buying a house thats been diagnosed with structural movement, it may be that tree roots or other forces have pushed a portion of the foundation off its footing. Ask your contractor how much underpinning a foundation costs if extra steps need to be taken.

      If foundation issues exist when bidding on a home, and theyre significant enough, you can have your realtor amend the offer on the home. Either subtract the amount of the repairs from your final offer, or request that cash be placed into an escrow account for the purpose of repairing the foundation. Its sometimes helpful to get the seller copies of the structural engineers findings and the quotes you received from the contractors.

      A Crack Leads To Water Infiltration: Is This Covered

      Pinnacle House Blog: Foundation covering

      Foundation cracks increase risks of water infiltration and the resulting damages are the main claim. While most insurance policies cover damages caused by a broken pipe or faucet, they rarely do for water from outside the home.

      It is possible to add a specific protection to your insurance policy to cover damages caused by water leaks from a foundation in poor condition.

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      Water Damage From Certain Leaks

      Does home insurance cover foundation repair due to water damage? It depends. Standard home insurance policies exclude flood coverage. So, does homeowners insurance cover foundation repair after a flood? Not unless the property owner has a separate flood insurance policy.

      Water damage, however, can be covered if it occurs as a result of a plumbing or HVAC system leak.

      Does Homeowners Insurance Cover Foundation Issues

      Most standard home insurance policies cover damage to your home’s foundation unless it was caused by an excluded peril, such as an earthquake, flood, tree roots, temperature changes, wear and tear, nuclear war and more. Be sure to review your insurance policy and understand what events are covered and not covered. You may need to purchase separate policies, such as flood or earthquake insurance, for more protection than home insurance provides.

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      Homeowners Insurance Does Not Cover Maintenance And Repair

      This is a little like expecting your auto insurance provider to cover worn tires and belts. Auto policies cover disasters such as collisions. Tires are for you to maintain and replace as necessary. The same applies to your homes foundations. You are solely responsible for maintaining you foundation.

      The Claims Process For Foundation Repair

      Does Homeowners Insurance Cover Foundation Repair?

      Follow these steps to file a claim for foundation repairs:

    • Make temporary repairs to your foundation if necessary. Save any receipts related to the short-term repairs.
    • Contact your insurance agent or insurance company to start the claims process. Ask them if your repairs are covered by your policy.
    • Take photos and videos of the damage for your records and the insurance company.
    • A claims adjuster will visit your property to assess the damage.
    • You hire a contractor that meets your own and the insurance companys requirements to complete the repairs.
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      Is Soil Shift Caused By Floods Covered By Home Insurance

      While floods can be covered in your home insurance policy, soil shifts arent. If the soil shifted due to a flood, however, you can raise a claim. Whether this sort of claim is possible depends on whether the flood is a direct or indirect cause of the shifting soil.

      If you can demonstrate that a flood directly caused a landslide or erosion event and your policy provides flood cover, youre eligible to claim. However, if the flood caused a subtle change to the soils consistency, which then shifted later. Under these circumstances, your claim will likely be rejected even if your policy covers floods.

      The details of whether youre covered or not can be confusing, especially because each insurer defines things differently. So its always a good idea to read the PDS carefully before choosing an insurer. You could also consider contacting your insurer directly to understand the exact details of your cover.

      How Your Homeowners Insurance Can Help Resolve Your Foundation Issues

      Once youve hired a professional and understand what caused the damage to your homes foundation, you can file a claim with your homeowners insurance. Once you notify the insurance company, they can send a claims adjuster to your home and examine the foundation.

      They can also help you resolve the issue in other ways. For example, they can provide a database of contractors or foundation specialists who can come to your home and assess the damage. These companies are usually prescreened beforehand, so you can trust that theyre credible.

      Since they have experience working with the insurance provider, they know how to navigate the claims system and handle the repairs as necessary. Using a recommended company helps to create a seamless process.

      If you suspect your cracking or buckling foundation is not covered under your homeowners insurance policy, be sure to hire a contractor or foundation specialist to investigate before you pay out of pocket. They can analyze the foundation, assess the damage, and tell you if there is a cause you missed. Then you can determine if you want to make an insurance claim.

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      How Much Does It Cost To Repair A Slab Leak

      Most homeowners pay an average of $2,280 for slab leak repairs, according to Home Advisor.

      Keep in mind that prior to paying you out for covered damage to your slab, youll have to pay a policy deductible before your insurance company will cover the remainder of the loss. If the damage to your slab is only slightly more than your policy deductible, you may want to reconsider filing a claim. Claims related to water damage and foundation issues tend to result in higher rates, so be sure to weigh the pros and cons prior to going ahead with the claim.

      Senior Editor & Licensed Home Insurance Expert

      Pat Howard is a senior editor and licensed home insurance agent at Policygenius, where he specializes in homeowners insurance. His work and expertise has been featured in MarketWatch, Real Simple, Fox Business, VentureBeat, This Old House, Investopedia, Fatherly, Lifehacker, Better Homes & Garden, Property Casualty 360, and elsewhere.

      Questions about this page? Email us at .

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      Foundation Damage Thats General Not Covered

      A Guide to Homeowner

      Foundation damage from earth movement is normally excluded from most home owners insurance policies, however there may a few endorsements, riders or specialty policies mentioned above that may cover foundation damage from earthquakes, flooding, sink holes and mine subsidence.

      General NOT covered is foundation damage from:

    • Settlement
    • Tree roots / subsidence
    • 1. Settlement Generally NOT covered

      Home foundations will settle or as some would say that theyre sinking down. This movement may cause the foundation to crack or tilt, which in turn may cause damage to the house sitting on it. Differential settlement is generally the worst type of settlement that a home may suffer.

      2. Damage from expansive soil Generally NOT covered

      Expansive soils are one of the leading causes of foundation problems and damage to a home. Over 50% of the United States has some form of expansive soils and it is estimated that half of these homes will suffer some form of damage due the expansive soils.

      3. Erosion and under cutting Generally NOT covered

      Water runoff and drainage can erode the soil next and under a foundation, resulting in foundation movement or failure.

      4. Slope creep Generally NOT covered

      Slope creep, sometimes called downhill creep, is the slow movement of soil downhill. It may only be the top three feet of soil moving or it could be a seventy foot thick layer of soil slowly moving downhill. This type of soil movement can slowly damage or destroy a foundation.

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      Is Water Seeping Through The Foundation Wall

      If you find water seeping through the foundation slab or wall, it may be that the slope of the soil against the house is forcing rainwater to pool next to your home. Youll likely note that water seeping through the foundation slab is greatest during and after rain events. Be sure to add soil to those low-lying areas to improve the grade so water flows away from the home.

      Another source for leaking are water pipes themselves. If your main water line travels through the foundation, water leaks can occur when the pipe is stressed by foundation settling. And hot water slab leaks can occur in much the same way. Water seeping through the slabs foundation and even cracks in the cement pad that make up the basement floor can produce fractures in pipes that lead to leaking.

      Types Of Foundation Damage

      Although a homes foundation plays a pivotal role in keeping a home upright, strong and dry, many homeowners dont even consider it until a structural issue appears.

      And when it appears, its never good.

      Whether its cracking, sinking/subsiding or showing other types of damage, a foundation issue can lead to extensive structural damage and costly repairs.

      Poor construction is one leading cause of foundation damage. If the soil isnt allowed to settle properly before beginning construction or if an inferior product is used, there could be foundation problems in the future. Have a home inspection completed to save yourself stress and money by identifying these potential problems prior to taking ownership.

      Other times, forces of nature cause foundation problems. Tree roots can actually crack your homes pipes and cause severe foundation damage, whereas earthquakes, soil erosion and other types of earth movement can create other foundation issues.

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