Sewer Backup Endorsement From Your Homeowners or Renters Insurance Company Can Save Money Later

In Most Cases, You can protect yourself from this "freak" event for less than $50 per year

Sewer Backup Endorsement From Your Homeowners or Renters Insurance Company Can Save Money Later
Image: Pixabay
March 1, 2018

Most people don't know that homeowners insurance and renters insurance typically doesn't cover your losses if something causes sewage to back up into your home. These damages can add up to many tens of thousands of dollars quickly, but an optional sewer backup endorsement from your homeowners insurance or renters insurance company can save you a lot of money later.

the endorsement is pretty cheap insurance

This optional insurance coverage is pretty cheap, often coming in at less than $50 per year for a $250,000 home. We've even seen rates as low as $7 per year to protect a $150,000 home! That's a cheap price to pay for the security this option insurance endorsement provides. When you look at the cost of a sewage backup, you'll understand why it's important to have. A small home can easily cost $10,000 to repair, with this number easily approaching $50,000. And this isn't something you should really do yourself. Sewage is a hazardous material and if not cleaned and repaired properly will cause a lot of problems down the road. That's why it's important to contact your homeowners or renters insurance company to get a quote.

Most homeowners insurance and renters insurance doesn't automatically include this coverage.

Most insurance companies don't include this optional coverage. It's all about business. When you call around or get insurance quotes online, the insurance companies want to show you the lowest price possible. So they don't include many of the optional endorsements that can raise your insurance quotes. So if you suffer a loss due to a sewer backup, you can count on having to foot the bill yourself if you haven't asked your insurance company to add it to your policy or quote.

you should still get an insurance quote even if you have backflow preventers

Depending upon when your home was built or remodeled, your home may have a device that prevents sewage backflows, or a backflow preventer. But even the best parts can fail, so you don't want to count a backflow preventer to keep you safe. If you have children, you know they love to flush things. So a backup can happen anywhere in the line, including down the street. Think about the waste from all of your neighbors coming into your house. Yuck! Only insurance coverage can truly help protect your wallet if you ever need to file a claim. So contact your insurance company for a quote on this coverage.

Costs that insurance will cover in case you need to file a claim

No matter how you look at it, 15,000 gallons of raw sewage isn't pretty. Cleaning personal items like toys, keepsakes and the like will be extremely difficult if not impossible. Your homeowners or renters insurance policy will cover the cost to replace these items, but only if you have this coverage. Your insurance will pay to remove the waste, gut your home, decontaminate and rebuild. Insurance will even pay for you to stay in a hotel or a rental while your home is being repaired since the home will be hazardous. But unless you contact your insurance company for a quote on this cheap coverage, you'll have to foot that entire bill yourself. Don't forget the cost to replace the sewer pipe!

Don't want this coverage? Get an insurance quote anyway!

Even if you think you don't want this optional endorsement, you should still call your insurance company and ask for a quote. It might be cheaper than you think! Your insurance company can even give you estimates on repair costs that can change your mind. Besides, if you haven't made any changes to your insurance policy in a while the limits of liability might need to be adjusted to reflect new higher building costs.

probably won't ever file a claim with your insurance company

Sewer backups are freak events, meaning they don't happen very often. You're more likely to experience a breaking, fire or flood before you experience a sewer backup. But for the cheap cost of the insurance coverage, you really should consider having it... just in case!