Caleb Meriwether, Haven Insurance Partners, visits with Dan Reaves, host of ‘The Dan Reaves Show,’ today, and each Wednesday at 3:30 p.m., to discuss all things insurance.
Most homeowners are unaware they are responsible for the underground utility lines that run from their home to the street. These include water pipes, sewer lines, electrical cables, and more. Damage to these lines can be costly to repair, and unfortunately, standard homeowners insurance typically does not cover this type of loss.
That’s where Underground Service Line Coverage comes in — a valuable endorsement that helps protect homeowners from unexpected expenses.
What Does Underground Service Line Coverage Protect?
Underground Service Line Insurance covers the cost to repair or replace damaged underground piping and wiring that connect your home to public utility systems or private infrastructure. Covered service lines often include:
Water pipes
Sewer lines
Electrical and power lines
Natural gas lines
Drainage and sump lines
Data and communications cables (internet, phone)
Beyond the line repair itself, the coverage may also pay for excavation, debris removal, landscape restoration, and even temporary living expenses if the damage makes the home temporarily uninhabitable.
When Does This Coverage Apply?
This endorsement is designed to cover sudden and accidental physical damage to service lines caused by perils that are typically excluded in a standard homeowners policy.
Common Covered Causes of Loss:
Wear and tear
Rust, corrosion, or deterioration
Mechanical breakdown of buried lines
Tree root intrusion
Weight of vehicles, equipment, or animals on the line
Freezing (including frost heave in some policies)
Collapse from the weight of objects above ground
Electrical arcing or power surges impacting buried lines
The key distinction here is that this coverage fills the gap for “maintenance-related failures” (like corrosion and root intrusion) that would normally be excluded under your base homeowners policy.
What’s Not Covered:
Flood or surface water damage
Earth movement (earthquakes, landslides, sinkholes)
Improper installation or defective workmanship
Vandalism or intentional damage
Damage caused by governmental actions or zoning enforcement
The lines must be owned by the homeowner and located on their property to qualify for coverage.
How Does a Service Line Claim Work?
The claims process generally involves these steps:
Discovery of Damage
Homeowners may notice wet spots in the yard, slow drains, low water pressure, or increased utility bills—signs of potential service line failure.
Filing a Claim
Report the issue to your insurance agent or carrier. An adjuster will be assigned to verify the damage and confirm coverage.
Damage Assessment & Approval
Specialized contractors may be brought in to inspect and determine the cause. If the loss is covered, the insurance carrier will approve the claim.
Repairs & Restoration
The policy typically covers excavation, repair or replacement of the damaged line, restoration of landscaping, and other related costs—up to the policy limit (commonly $10,000 to $20,000, but higher limits are available).
Claim Settlement
After the work is completed, the insurer reimburses the homeowner (minus the deductible).
Why Is This Coverage Worth It?
Underground service line repairs can cost $3,000 to $10,000 or more, depending on the depth, location, and extent of damage. Adding this endorsement is typically affordable—often less than $100 per year—making it a smart investment for homeowners who want peace of mind.
