Does Home Insurance Cover Foundation Repair

Your home’s foundation is the structural base that supports the rest of the structure. Without a solid foundation, the safety and integrity of your entire house is at risk. Depending on the reason, your homeowners insurance will usually cover some forms of foundation damage. Here’s what you should know.

Does homeowners insurance cover foundation issues?

If both of the following conditions are met, home insurance will often cover foundation repairs:

• The damage was caused by a covered occurrence under your coverage. With a HO-3 policy, the most common type of home insurance, your insurer will often cover damage caused by risks that are not specifically excluded by the policy. HO-1 or HO-2 policies, which are less prevalent, solely cover damage caused by the risk specified in the insurance contract. 
• The injury was quick and unintentional. If the foundation problem arose gradually or could have been avoided with good home upkeep, your insurance carrier will most likely deny coverage.

Your home’s foundation is protected by the dwelling coverage section of your insurance, often known as Coverage A. Dwelling coverage is the portion of your insurance that insures the home’s structure. It often includes the house’s foundation, roof, frame, chimney, permanent fixtures and appliances, and connected structures such as a porch or garage.

When does home insurance typically cover foundation repair?

Standard homeowners insurance frequently covers foundation damage that is caused by one of the following events:

• Fire or lightning.
• Windstorm or hail.
• Explosion.
• Damage from a car or an airplane.
• Vandalism.
• Volcanic eruption.
• A falling object such as a tree or power post.
• Weight of ice, snow, or sleet.
• Accidental water or steam leakage from a plumbing system, air conditioner, or home appliance.

Remember that determining what your home insurance policy covers isn’t always easy. For example, if a pipe burst in your home and damaged the foundation, your insurance provider is likely to pay for the repairs. However, if the pipe has been leaking for a time and you failed to repair it, your insurance company may refuse to pay for the following damage because it was not unexpected or accidental.

When home insurance typically won’t cover foundation damage

If the foundation damage was not caused by a covered risk and was not the result of a sudden and unplanned event, your homeowners policy will most likely not pay up. Here are some types of foundation damage that ordinary home insurance plans often do not cover.

• It was caused by either flooding or an earthquake. Most ordinary home insurance policies exclude coverage for floods and earthquakes, both of which are significant causes of foundation damage. If you reside in a location prone to these severe weather occurrences, you may need to purchase supplemental flood or earthquake insurance.
• The problem is the result of ordinary wear and tear. Some foundation difficulties, such as dirt sinking or minor cracks, are typical and develop over time. These issues are considered normal wear and tear and would not be covered by most homeowners insurance.
• Faulty construction is to blame. Insurers typically will not cover damage caused by poor construction, which is why a comprehensive home inspection is necessary when purchasing a property.

What causes foundation damage?

Foundation damage can have various underlying causes, such as:

• Water accumulation and drainage difficulties. Excess water that accumulates beneath the home’s foundation can wash away the underlying soil, causing the foundation to shift.
• Natural calamities. Natural calamities such as earthquakes, floods, and wildfires can all destroy your home’s foundation.
• Faulty construction. Uneven slabs, loose soil, concrete concerns, and poor building materials can all contribute to foundation problems.
• Pests. Burrowing animals (such as hedgehogs and moles) and termites may damage your foundation.
• Prolonged drought. A prolonged dry spell might lead the foundation to “settle” or gradually sink into the ground.
• Tree roots. A tree placed too close to your home may cause foundation problems, especially if it has a shallow root system, such as an oak or elm tree.

Many of these issues are avoidable with good home maintenance. Trimming tree roots, repairing leaks quickly, and having a solid drainage system, for example, can help to keep your home’s foundation from failing.

Does home insurance cover foundation cracks?

Foundation cracks are usually not covered by homeowners insurance. The crucial phrase to remember is “sudden and accidental.” Cracks are a prominent early indicator of foundational concerns. Water erosion, soil concerns, and defective construction are all potential culprits. All of these issues are normally resolved by routine home upkeep and repairs, which are typically not covered by home insurance.

How to file a claim for foundation repair

Before filing a claim for foundation damage, verify your policy documentation to ensure that the cause of the damage is covered. Also, consider your home insurance deductible. Your deductible is the amount you must pay before your insurance benefits begin. For example, if your deductible is $1,000 and you have $10,000 in damage, you would pay the first $1,000, with insurance covering the remaining $9,000. 

If the repair costs less than the deductible, pursuing a claim is usually not worthwhile. A claim frequently raises your premiums because insurance companies evaluate previous claims to determine your chances of filing such claims in the future.

If your home’s foundation has been destroyed as a result of a covered occurrence, you should file a claim right once. Depending on your state, you may only have a certain amount of time to file your claim. Take pictures and videos to document the damage. When you contact your insurance company or agent, be prepared to offer a detailed description of the damage and how it occurred.

Warning signs of foundation damage

If you see any evidence of foundation damage, respond quickly. Here are some warning indicators to watch for:

• Uneven floors.
• Leaning walls.
• Doors and windows that do not open and close correctly.
• Cracks in doors, windows, the exterior, or basement walls.
• Moisture in the garage or basement.

If you notice any of these warning indicators, notify a building inspector right away. While some indicators of foundation degradation are obvious, others are less noticeable to the untrained eye. If you are afraid that your home may have foundation concerns, it may be worthwhile to hire a professional for frequent inspections to detect any problems early on before they become a more expensive problem.