Foundation repair can cost thousands of dollars, but it's also unavoidable if you have damage. Foundation damage will lead to significant structural damage over time. It can even lead to a home becoming dangerous. If you can get your insurance company to pay for your repairs, it's a bonus. However, the situation may be more complicated than it seems.
Traditionally Covered Risks
An insurance policy is usually exclusive rather than inclusive. In other words, a policy only covers exactly what is specified in the policy, and nothing else. If your damage has come from something that you're explicitly covered for, such as fire, then the foundation damage will likely be covered. Plumbing issues are also usually covered under an insurance policy.
Everyone's policy is unique, so either read your policy or call your agent before assuming that your foundation damage isn't covered.
General Wear and Tear
Insurance companies are intended to protect you from incidental damage and unexpected risks. It is not designed to cover you from general wear and tear. Over time, foundations are going to shift and crack. Most policies won't cover this.
You can expect to have to fix your foundation after a few decades. These fixes may be small as long as you keep on top of them. Foundation issues due to wear and tear will steadily get worse if they are neglected.
Flooding and Earthquake Damage
Many insurance policies don't cover flooding or earthquake damage. Instead, you have to have additional flooding and earthquake coverage. If you have these policies, then foundation damage that is caused by flooding or earthquakes will still be covered.
If you don't have this coverage, none of the flooding or earthquake damage will be covered. If you live in a high risk flood or earthquake zone, you should always maintain this additional insurance. In low risk areas, flooding and earthquakes may be covered by your general insurance policy.
Material and Home Warranties
Is your home less than ten years old? If it is, you may still be covered under the builder's warranty. Home builders warranty the materials and construction of their properties for some time after they are built. If you still have a warranty available, you will be able to get reimbursed for issues that occur within this window of time.
Many home builders are bonded and insured for exactly this type of issue. Their own insurance can cover the cost of a new foundation, but they may initially request that they cover the repairs. This might not be a good idea: after all, the same company that poured the incorrect foundation the first time could pour it incorrectly the second time. You can request to find your own contractor.
Independent Insurance Adjusters
If you feel as though your insurance company has made the wrong ruling, you can consider contacting an independent insurance adjuster. Independent adjusters take a look at your insurance claim and negotiate on your behalf.
As an example, your insurance company could claim that though there was a fire, the foundation issue that you experienced was due to age or due to wear and tear. Your insurance adjuster may be able to help represent you in this dispute, showing documentation that the issue was actually due to the fire, and therefore covered. Your insurance agency doesn't necessarily work on your behalf, so you will want to have someone on your side.
Ultimately, most insurance companies won't cover a foundation repair. However, there are some situations in which they will. Before you make any decisions, you should contact your insurance agent and a foundation professional. Call Bonilla Foundation Repair today to get a consultation and a quote.