How Third-Party Liability Insurance Works in Canada
Homeowners Service Line Coverage
Homeowners insurance is designed to cover any losses and damages to the interior and exterior when something goes wrong, such as a fire or theft. However, these types of policies often leave out the subterranean lines that run through your property. Standard homeownership will cover burst pipes inside your home, but it will not cover the pipes that connect the septic tank to the dwelling. Basically, any utility line failures, from the property to the boundary lines, are not covered under most home insurance policies. This includes the water piping, electrical power lines, and data transmission wiring. To fill this coverage gap, you’ll need to purchase Homeowners Service Line Coverage, which will cover the costs of repairing or replacing the line, as well as the landscape restoration.
What Does Service Line Coverage Protect?
A lot can go wrong with your outdoor service lines. The pipes can burst or collapse, the electrical power lines can fail, the data transmission wiring can break, and the list goes on. If you don’t have the proper insurance in place you could be expected to pay out of pocket to fix costly service line repairs and any physical damage that is caused to your property as a result. With service line coverage, you will get protection for the following:
Electrical power lines that provide service to the dwelling and any other structures on your property
Telephone, Internet, and fibre optic wiring.
Ground loop piping used to connect to a heat pump
Piping that connects outside heating systems to the dwelling
Piping that connects a public water supply to the dwelling
Steam and sewer pipes
Natural gas pipes
The types of loss typically covered include mechanical breakdown, and damages caused by plant roots freezing and electrical breakdowns, or the weight of equipment, vehicles, people, or animals.
What Other Advantages Does This Type of Insurance Provide?
Besides paying out of pocket for the damages, it will also cover any expenses you may have to pay if you need to stay in a hotel while the repairs are being completed. Homeowners Service Line coverage will also pay for any damage done to the landscaping, trees or decks, and sidewalks located on your property.
Where Do You Purchase the Coverage?
Homeowners service line coverage is only available through select insurance companies and can be obtained by speaking with an insurance broker. The costs and coverage types vary depending on the provider. To get the most coverage at the lowest rate, you will need to speak with a broker who can determine your exact needs and will review all the available coverages to find you the best pricing and terms.
Looking for homeowners service line coverage? Call us at MLS insurance Brokers today, and we’ll help you make the right choice for your needs and budget.
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