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Your home is a place of safety and a big investment that needs the utmost care. Homeowner’s insurance protects your property, but does home insurance cover foundation repair? We’ll explore what typical homeowners insurance policies cover and don’t cover regarding foundation repair, what causes foundation damage and what you can do if your policy doesn’t protect you.
Will Your Homeowner’s Insurance Cover Foundation Repairs?
Foundation problems can make your home become unstable and lower its value. It is very important to know if your insurance covers foundation repairs.
Some situations might be covered, but many foundational issues aren’t. It’s important to read your policy to understand what is or isn’t included.
Here are some examples:
What is Covered
Sudden and Accidental Damage: Some types of insurance might pay for foundation damage that happens quickly and by accident, like when a pipe bursts or a tree falls on your house. These events are considered sudden and unexpected. Your insurance might cover the cost of repairs up to your policy limits, but it might not cover the full cost of repairs if the damage is extensive.
Limited Coverage for Specific Events: Some policies only cover a certain number of foundation cracks or collapses caused by certain events or conditions, such as flooding, landslides, or severe storms.
What is Not Covered
Gradual Deterioration: Foundation issues caused by gradual processes like settling, soil erosion, or aging are typically not covered.Settling is a natural process where the soil beneath your foundation gradually compacts, causing the foundation to sink or shift. Soil erosion can occur over time due to water runoff, washing away soil around the foundation and weakening its support. Aging can also contribute to foundation issues as materials degrade and the foundation experiences wear and tear over time.
Pre-existing Conditions: Your current policy will likely not cover foundation issues that were present when you purchased the home. This includes any pre-existing cracks, settling, or other foundation issues that were present when you acquired the property.
Water Damage from Poor Drainage: If water consistently builds up around your foundation because of bad drainage (clogged gutters, uneven ground, or downspouts that send water toward the foundation), your homeowner’s insurance won’t cover water damage. This is because the problem is seen as a long-term one that can be avoided rather than unexpected.
Understanding Your Policy
Understanding your policy and knowing if your home insurance covers foundation repair is essential. Each policy is different and has its own terms, conditions, and things that aren’t covered.
Coverage Limits: Know what your coverage doesn’t cover, like any deductibles or limits on how much you can get paid for foundation-related claims.
Exclusions: Learn about the specific things not covered for foundation damage, such as slowly sinking soil, pre-existing conditions, and water damage from bad drainage.
Optional Coverages: Look into adding extra coverages that would protect you more in case of foundation problems.
What to Do if Your Insurance Does Not Cover Foundation Repair?
Discovering your homeowner’s insurance doesn’t cover foundation repair can be stressful. But don’t panic! Exploring financing options can help you spread out the cost of repairs over time. Here are some options to consider for how to pay for foundation repair:
Out-of-Pocket Payment: This might be the simplest choice, but fixing the foundation can cost a lot. Therefore, it is very important to plan your budget and finances carefully. Consider how much the repairs will cost and what financing options are available. Then, prioritize the most important repairs to fix the most important problems.
Financing Options: Many foundation repair companies offer payment plans for people who need help paying for repairs. Compare these choices, interest rates, and repayment terms to find a plan that works for your budget.
Government Grants and Rebates: Government grants or rebates might be available to assist with foundation repair costs. These programs often target energy efficiency improvements, but some include basement wall waterproofing. Research programs like the Canada Greener Homes Loan to see if they can offer assistance.
What Causes Foundation Damage?
Several things can damage your home’s foundation. Knowing these causes can help you spot problems before they happen and take steps to prevent them.
Issue: Incorrect grading, clogged gutters, or downspouts that send water toward the foundation can make the ground around the building too wet.
Impact: Excess moisture weakens the soil, leading to erosion and uneven foundation settling.
Issue: Changes in soil moisture content can cause the ground beneath your home to expand and contract.
Impact: This shifting can put a lot of stress on the foundation, causing cracks and uneven settlement. Expanding soils, like clay, are more likely to have this problem.
Issue: When it rains heavily, water can wash away the soil around your foundation, removing the support that was there before.
Impact: This erosion can cause the foundation to settle unevenly, leading to cracks and making the building unstable.
Issue: Tree roots that grow close to the foundation can put a lot of pressure on the building as they search for water.
Impact: This pressure can cause cracks in the foundation walls and floors and uneven settling.
Issue: If the foundation isn’t built properly, the soil isn’t packed down enough, or cheap materials are used, it can weaken over time.
Impact: These problems can cause the structure to settle too soon, crack, and have other issues.
Next Steps to Repair Your Foundation
Knowing if your home insurance covers foundation repair is important, but protecting your home’s foundation is just as essential. Don’t wait if you think your home’s foundation is giving you trouble. It is important to find and fix problems quickly to prevent further damage and keep repair costs as low as possible.
Contact Waterproof Basement today for a free foundation inspection and estimate. Our experienced team will assess your foundation, provide expert advice, and offer customized repair solutions to protect your home from the effects of foundation damage.
