Remember the Unsung Hero of Holding Up Your House
Most of us probably take for granted the foundation of our house. It performs the unglamorous job of providing support for your entire structure. Some houses have basements, others are on a slab. Either way, the foundation is a very important part of your home. State and local regulations typically will advise which is allowed when building the home. If you have a basement foundation, leaking may have been experienced after heavy rains or snowmelt. The same can occur in a slab foundation home. Common ways to repair are using either epoxy, cement, and mortar. But when those repairs come up, are they covered? Typically, water or the earth settling (which can occur together) are the main reasons for repair. Will homeowners insurance cover any foundation damage or settling? Let’s find out below.
The homeowners policy you have will be the gatekeeper to your coverage. Certain states will have a different set of rules than others. A flood-prone area will require a larger deductible if they even offer the coverage at all. Unless you have very specific coverage stating otherwise, you are not likely covered for damages due to settling. To the insurance company, this is expected at some point over time. Insurance policies do not cover things caused by general aging and wear. If something happens to your house though, you may be covered.
For example, there is a bad storm and a massive tree falls on the corner of your house. If this accident caused your foundation to crack, then that may be covered. An adjuster would have to come out and view the damage. They would then make an assessment of whether there was any previous damage. If all appears to be in good shape, your claim would be approved and your repairs would be covered. But again that is only due to tree falling, causing the damage.
If after 20 years a corner starts sinking down, would that be covered? That also depends. We will explain below.
Did Anyone Leave the Water Running?
If there was excess water around the corner that caused the earth to shift, then you may be covered. If it was a result of something that happened, then it should be. As in the example above, the tree accident happened but this time it caused flooding. Your property would still go through the same rigorous inspection. As long as there are no signs of previous damage, your claim should be approved and your house repair will be covered. Insurance companies have a hard time with foundation claims. If no direct event occurs to cause the foundation to settle, it will likely be not be covered.
One thing is certain, your home (or potential home) should have its drainage inspected. This could be a good indicator as to the likelihood of any future water damage. It is possible that your insurance company will have a separate policy, specifically for your foundation. This is not entirely uncommon, especially in areas that experience harsh weather patterns.
Pay Attention to the Details
As you now know, the hidden identity of a house foundation can go to front and center quickly. Be sure when buying a home to have the foundation thoroughly inspected. If you have been in your home for many years, it is always a good idea to keep up on any maintenance that should occur.
Remember to pay attention to the water drainage and slope of the land. If and when something happens naturally, be prepared to pay out-of-pocket for the repairs. Make sure to ask all the questions you can with your insurance company. It could be the difference between sinking a little or a lot of money into your foundation.
