Do You Need Service Line Insurance?

What is Service Line Insurance?

Service line insurance coverage is a type of insurance that reimburses you for damage to utility lines that you’re responsible for as the homeowner. Utility lines include water, sewer, gas and often electric. It is usually be packaged with homeowner’s insurance with an additional premium.

Broken Service Line

Out of Sight, Out of Mind

Our service lines are something we usually don’t give much thought to until service is interrupted. When that happens, you should know what your basic homeowner’s policy covers, and what it doesn’t.

Issues can include:

  • Wear and tear
  • Rust and corrosion
  • Mechanical breakdown
  • Freezing
  • Tree (any plant or root)
  • Animals

Water damage can begin as a small crack or blockage that eventually expands and causes a burst pipe. After the repair, you have to dig up the yard and replace the pipes; more likely, you have to pay for the repairs.

On the park strip in front of your house, there is an old tree whose roots penetrate the main water pipe. This means that if one of the pipes freezes and the sewage pipe gets to your home, you will have to pay for the repair.

Regarding electrical power, the energy company or another service provider is only responsible for the infrastructure and connection to your property.

This kind of work can easily cost you $5,000 or more, and it could be a big mess and even a bigger bill.

Outside service connections could include:

  • Water
  • Waste disposal (sewage)
  • Electrical power
  • Drainage
  • Compressed air
  • Communications
  • Heating

If you have a home connection coverage, it pays for any leaks that damage your property outdoors. The main coverage protects the supply lines that run through the connection between the main supply line and your home. A Conversation with your agent can help you decide if Service Line coverage is for you. Peace of mind could just be a few dollars a month.

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