Do you have a basement? Is it finished? Did you know without water back up coverage on your homeowners policy, you do not have coverage for your basement, as a result of water or sewer backup? You may have homeowner insurance coverage, but there are some things that your homeowner’s policy doesn’t cover- water backup is a BIG one. But don’t worry. There is a sewer backup rider that you can add to your policy to help protect you!
For an additional premium to your homeowners insurance policy, an endorsement for water backup and sump discharge will cover losses caused by the following:
*The backup of water or waterborne materials through a sewer or through a drain
*Water or waterborne material that overflows from a sump, even if the backup of water is due to the mechanical breakdown of the sump pump. Coverage includes damage to covered property but excludes the sump pump and any related equipment that has broken down.
Keep in mind: This DOES NOT REPLACE, OR COVER FLOOD.
Your water backup limit should be large enough to satisfy water extraction, dry out, and even for damaged drywall and personal belongings. This limit should also include enough coverage for potential replacement of your furnace/washer/dryer/water softener/water heater, and any additional large appliances that may exist in your basement.
We understand that coverages like this can tend to be confusing, simply because there are so many different scenarios. So don't hesistate to reach out to your agent to ask questions, and he or she will be able to provide you with details on cost, as well as specific advantages that this type of endorsement would mean for your situation.
For additional information, take a look at this informational flier, on how an endorsement for water backup can be of benefit to you!
Author: Maegan Burbank, IMG Personal Lines Team Leader & Claims Specialist