12
Nov

Water damage is a prevalent cause of disaster and frustration for homeowners. The majority of all US basements experience water damage during their lifetimes.

Before we dive into insurance coverage, let’s first discuss what a slab is. The foundation, or the “slab”, holds much of the guts for your home. Piping set in the foundation traffics water in and out of your home. When the structural integrity of those pipes gets compromised, it can break the pipe and wreak havoc in the form of a slab leak. 

Repairs can be costly. The average cost is around $2,000. But pinpointing an exact cost is a challenge. Depending on the location and difficulty reaching the leak, costs can rapidly increase. This is because plumbers often have to dig into the foundation to repair a section of the pipe if they can’t reroute the flow of water through another means. Flooring may even need to be removed and replaced. 

Now that we have clarified what a slab leak is, the next question to address is will your insurance cover a slab leak to your home. The short answer is it depends. Typically, a slab leak needs to meet 3 criteria before an insurance carrier will cover it. Even then, your homeowner’s policy will only cover the cost of tearing up and removing the damaged area along with any other damage caused to your home. It will NOT cover the cost of replacing the piping!

Typically, there are three criteria for a slab leak to be covered which include the following:

1. There must be damage to your home. If there is not clear damage to the home, your homeowner’s insurance policy won’t cover it. 
2. Your policy covers water damage. If your policy excludes any form of water damage, then you wouldn’t be covered. 
3. The damage must be sudden. If the damage occurred rapidly, you could have a claim.  

Two other important factors to ponder:

• If tree roots or failed maintenance caused the damage, your homeowners insurance company would deny the claim. 
• Texas homeowner’s insurance policies typically exclude foundation coverage. This is because the geological makeup of Texas is mostly clay, which is prone to shifting. You can usually buy a water & foundation endorsement that covers 15% of your Coverage A, up to a $25,000 limit.

You might be wondering what are the signs that you have a slab leak? Here are four situations to consider:

• Unusually high water bills: A leak in an average-sized household can waste 10,000 gallons a year. And the top 10 percent of leaks can waste 90 gallons a day. A huge jump in water bills is a sign that something is wrong. 

• Cracks in the floor: If you notice the cracks appearing on the floor or slab, that could be a result of damage from a burst pipe in the slab.

• Noticeable moisture: With some slab leaks there will be detectable moisture on the floor and baseboards from the water leaking through the slab. 

• Warm spots on the floor: If you walk into your kitchen and notice that a certain area of the floor in front of the sink, for instance, feels warm to the touch, it’s a sign of a leak.

Keep in mind that while insurance companies won’t pay for a plumber to check for leaks, they definitely won’t cover damages to the home if there is neglect. If you notice something, its best to contact a plumber immediately to inspect the issue.

The examples and perspective in this article are the opinion of Claim Ally. Claim Ally Does Not practice law nor does it provide legal advice.