Now your homeowners won’t be in for a costly surprise
Sewer pipes and septic lines. Incoming city and well water piping. Power and electrical lines. Communications and data transmission lines. Underground, these are out of sight and out of mind – until they suffer a service line failure. And, when they do fail, frequently it’s unexpected, and homeowners often need to make temporary living arrangements until repairs are made. And then, there’s the prospect of your insureds having to deal with bull dozers disturbing their property and destroying the landscaping they spent thousands to install and years to establish.
Most homeowners policies don’t cover damage to underground water piping and wiring. So, when a leak, break, tear, rupture, collapse or arcing occurs, all too often homeowners find that they are responsible for repair costs. And, it’s not a cost they can put off, because a residence can become uninhabitable following a sewer or water pipe break or underground power line failure. It’s startling how the cost of a failure can add up. The average cost of a service line repair is about $4,000, but could run much higher.
You can help protect your insureds
Now, there’s a simple, affordable solution to avoid these costly repairs. Panhandle Farmers Mutual now offers Service Line Coverage that is being included as part of our homeowners policy.
Coverage applies to homeowner-owned, exterior, and underground:
- Water piping that connects from the “residence” or related private structure to a public water supply system, private well system, cistern or retention pond or heating system located outside the “residence” or related private structure
- Steam piping that connects from the “residence” or related private structure to a heating system located outside the “residence” or related private structure;
- Ground loop piping that connects to a heat pump;
- Sewer piping that connects from the “residence” or related private structure to a public sewer system or private septic system;
- Drain piping that drains water away from the “residence” or related private structure;
- Power line or electrical wiring; or
- Communication or data transmission wiring, including but not limited to telephone, cable, internet and fiber optic wiring.
Coverage goes beyond the pipe
Service line repairs often entail more than simply replacing the pipe. In many cases the repair can mean digging up landscaping, driveways and sidewalks to get to the site of the damaged pipe or line.
Panhandle Farmers Mutual’s Service Line Coverage includes the costs associated with outdoor property such as trees, shrubs, plants, lawns, walkways or sidewalks that are damaged as a result of a service line failure or related repair work. And, the increased cost of water or electricity resulting from covered damage is a covered expense. The coverage can also pay for hotels, meals, rent, or other living expenses when a family must leave their residence because of a covered loss, or for generators and other temporary equipment needed to remain in their home.
Service Line coverage will pay up to $10,000 per occurrence; a $500 coverage deductible applies.
Offering this coverage is easy
Service Line coverage is being automatically included on all eligible homeowners policies.
Your insureds count on you
Your homeowners trust you to guide them on the coverage they need. Help protect them from costly service line breaks with Panhandle Farmers Mutual’s Service Line Coverage.
For additional information, please visit our website at: http://www.panhandleins.com/
Examples of Losses
These are examples of potential losses. They demonstrate just how Service Line Coverage can protect the piping and wiring that brings critical utilities to and from the home.
- An old sewer pipe running under a driveway deteriorates and starts leaking. Repair of the pipe means the driveway needs to be dug up. The total cost of replacing remaining pipe is $15,000. The cost to replace the damaged segment of sewer piping is $3,500. The cost to excavate and to repair the driveway is $4,000. Total Service Line claim payment is $7,500.
- Tree roots invade sewer pipes causing them to leak. The tree roots need to be cut back to prevent further damage. The loss amount includes $1,500 for the pipe repair and $500 for an arborist to cut roots back, less a $500 deductible. If the tree damage causes it to die, the cost to replace the tree would be included up to the coverage limit.
We’ve partnered with the leader in equipment breakdown insurance to bring this new policy enhancement to you. You’ll have the best coverage and claims service available.
View videos that break down Panhandle Farmers Mutual Insurance services and coverage and other insurance related questions.
© 2014 The Hartford Steam Boiler Inspection and Insurance Company. All rights reserved. This document is intended for informational purposes only and does not modify or invalidate any of the provisions, terms or conditions of the policy and endorsements.