Service Line Insurance Coverage

Service line coverage provides protection from an unexpected loss caused by a service line failure. This sometimes unforeseen and costly exposure is not covered under most homeowners insurance policies, and most homeowners do not realize they are responsible for the underground service lines from the street to their home. This product protects the homeowners connection to a public utility service provider or to a private system.

This offering provides coverage for:

  • Damage to an underground service line as a result of a service line failure.
  • Costs required to repair or replace the damaged covered service line that is the result of a service line failure.
  • Outdoor property that is damaged as a result of a service line failure or damaged during the excavation of a covered service line following a service line failure.
  • Extra cost to make temporary repairs, expedite permanent repairs or permanent replacements to a service line that is damaged as a result of a service line failure.
  • Damage to wiring used for communication or data transmission.
  • Additional living expense and rental value.
tree being broken down with chainsaw

Loss Examples:

  • An underground power line providing electrical service to the home significantly deteriorated over time and resulted in arcing. The underground power line had to be excavated and replaced due to extensive damage discovered during the repair work. Property Damage: $7,800
  • A tree root grew through a sewer pipe located on the homeowner’s premises causing it to leak. The sewer line was 200’ long and required a backhoe to dig up the damaged piping and replace it. Property Damage: $5,800

How does coverage work?

For a small annual premium, the homeowner can obtain protection against a common loss event that averages $6,000 per occurrence. The homeowner is responsible for the first $500 (deductible) and then has coverage up to $10,000 (limit).

Perils:

  • Wear and tear
  • Rust
  • Corrosion
  • Decay
  • Deterioration
  • Hidden or latent defects
  • Freeze
  • Collapse (except sinkhole collapse)
  • Electrical breakdown
  • Mechanical breakdown
  • Pressure system breakdown

Find an agent

Locate a Cypress Insurance Agent to discuss eligibility and terms and conditions on policies for Service Line Insurance Coverage.