PA Home Insurance Coverage for Sinkholes
The recent news coverage of the sinkhole in Allentown is probably causing you to ask…
Does my homeowners insurance policy covers my home in the event a sinkhole? Does my renters policy cover my contents if it is lost by sinkhole damage?
Sinkhole coverage is not automatically covered by homeowners or renters insurance. Most insurance companies require you to request to have this coverage added to your policy.
Tune in to Channel 69 News this evening to hear our Personal Insurance Manager, Roberta Kates discuss sinkhole coverage.
What does it cover? For the sinkhole collapse endorsement to respond to a claim, the dwelling, an outbuilding, a fence, the driveway, etc. must be damaged as a result of the sinkhole. If a sinkhole occurs in the middle of the yard with no structural damage to a structure, there would be no coverage. The costs of debris removal as a result of a sinkhole damaging a dwelling is covered.
What does it cost? Most insurance companies charge a rate of approximately $ .35 per $1,000 of dwelling coverage. For example, if your home is insured for $100,000 dwelling replacement value, the cost for adding the sinkhole collapse endorsement would be $35 per year…a small price to pay for the peace of mind of knowing your home is protected from this type of natural disaster.
What is a sinkhole? Sinkholes result when dolomite and limestone formations breakdown under the surface due to exposure to large quantities of flowing water (such as a water main break). Certain geographical areas, such as the Lehigh Valley, are very prone to sinkhole collapse.
What can you do to stop them? Keep storm drains clear of debris and make sure all down spouts flow at least 10 feet away from your building. If you notice any depressions in your yard, immediately contact a plumber to make sure your water supply line is not leaking. You can also purchase a sinkhole collapse insurance coverage endorsement for your homeowners or renters policy. Many insurance companies offer this coverage, but some do not. It is recommended that you contact Arbor Insurance Group or your agent as soon as possible to determine if your company offers this coverage.
Contact Arbor Insurance Group for more information on how you can endorse sinkhole coverage on your PA Home Insurance policy at 610-437-3340 or www.ArborIG.com.