A cracked foundation is a concern for any homeowner, especially if you are not sure if the situation is covered by your homeowner’s insurance policy. While every company and policy is different and the details of your plan may vary, many insurance providers will not cover the cost of repairing a cracked foundation.
Maintenance and Poor Design
The two main reasons that a cracked foundation may not be covered in the basic policy is that you are responsible for regular maintenance on the property and the crack is usually a slow damage that occurs over time. In older houses, it may be related to poor designs and construction that do not factor in changing soil conditions, erosion or other risks.
New homes are not likely to have cracked foundations unless it relates to a natural disaster, like an earthquake.
When it is Covered
Even though many situations and cracks in the foundation are not covered by your basic policy, there are times when your insurance may cover the situation. For example, you may be covered if it is directly related to a natural disaster that is covered. If you have earthquake coverage and an earthquake caused the damages, then you may be able to make a claim.
There is also the possibility that you may be covered if the damage is caused by an unexpected and covered situation, such as a burst pipe that caused water damage.
The problem with a foundation that is cracked is the possibility to prevent or limit the damages. As a result, many basic policies will only cover the damage if it is caused by an unexpected and covered situation. Call us today to talk to an agent for more details.