Sinkholes are a growing problem in many areas of the United States. Sinkholes are large, often undetected holes that open up under surfaces, generally creating a significant security risk. Sinkholes occur because of the erosion of land from under surfaces. Imagine what might happen if such a sinkhole opens up near your home, which may even make your home uninhabitable. What can be done? If you are at risk for this type of problem, be sure to talk to your home insurance about it, about your risk and about your options.
Does Home Insurance Cover It?
In most cases, sinkholes are not covered by your home insurance. This can be a very worrisome factor for property owners, especially in areas where there is a growing number of sinkholes occurring. For example, most of the damage from these sinkholes is occurring in the areas of:
However, they can happen anywhere. Most policies do not provide protection from these types of claims. However, if you live in Florida or Tennessee, your insurance policy is more likely to include it since these states are required to provide this type of protection to property owners. In the state of Florida, for example, catastrophic ground cover collapse, which is what applies to sinkholes, is a requirement for all policies. However, the investment in comprehensive sinkhole coverage is optional. Property owners in these states should take a closer look at their risks and the types of policies and coverages they have.
What should you do if you live in an area without this type of requirement? Talk to your home insurance agent to determine what your options are. In most cases, you will find that coverage is available as an additional policy called a rider. If this is not present in your state, you may be able to find additional protections. And, of course, you should stay current on the risks impacting your property and your home's value. Sinkholes are very dangerous, but your local building codes and building offices can help you to learn if there is a risk to your property specifically from this type of structural damage.
We’ve got you covered. Call La Familia Insurance at (888) 751-7511 for more information on Dallas home insurance.