Underground Utility Lines and Equipment Breakage Coverage

Updated September 21, 2021

As a homeowner, you may face unexpected and unbudgeted repair expenses. Your homeowners insurance is there to provide coverage in many instances, but there are a couple additional types of coverage you should be aware of.

Service Line Coverage

Most homeowners don’t realize they are responsible for the underground service lines that run from the street to their home. Chances are you have multiple service lines running to your home including power lines, cable TV lines, sewage, and water pipes.

Service Line Coverage provides protection against unexpected loss caused by power line failure. It extends coverage for damage to underground piping, wiring or attached devices that connect a home to a public utility service provider or to a private system. Coverage provides protection from failure due to:

• Decay
• Deterioration
• Hidden defects
• Freeze
• Collapse (except sink hole collapse)

Service Line Coverage helps cover the following costs as a result of service line failure:

• Repairing or replacing underground service lines as a result of failure
• Outdoor property damage as a result of service line failure or excavation for repairs
• Damaged wiring for communications or data transmissions
• Additional living expense and rental value if you can’t live in the home while it is being repaired

An example of the type of loss covered by Service Line Coverage is a tree root growing through a sewer line requiring repair or replacement. The expense to repair this can run about $3,000 – $4,000 on average, but can exceed that depending on damage. This isn’t normally covered by homeowners insurance without the Service Line Coverage supplement.

Homeowners Equipment Breakdown Coverage

Most homeowners insurance policies don’t cover the cost of repairing or replacing essential household equipment like your air conditioning system. Homeowners Equipment Breakdown Coverage covers all your important home equipment due to loss by mechanical or electrical breakdown. Examples of covered home equipment include:

• Appliances
• Heating and cooling systems
• Pool and pool equipment
• Water heaters
• Well pumps
• Home security systems
• Personal computers
• Home electronics

NOTE: Equipment breakdown coverage will cover the cost to repair damaged equipment after the deductible, but not necessarily the cost to replace. Breakdown caused by wear and tear is excluded.

Do You Need These Coverages?

Everyone’s situation is different, and we are happy to review with you all the options. We can help you determine the right coverage for your needs.