Did you know that damage to external service lines is not covered under a standard property policy? Depending on the type and severity of the damage, repair work can be quite expensive. HomeGuide reports that the average cost to replace or repair a main sewer line is $3,818, with most spending between $2,250 and $5,750. A complete replacement can cost anywhere from $8,000 to $30,000. NREIG offers a Service Line coverage add-on to help protect you financially in the event of a costly incident. 

 What is considered a service line? 

Service lines are exterior underground utility lines that run from the street to the home and provide a service to the premises. Utility lines may include water pipes, power lines, cables, and the main sewer line.  Covered service lines may include, but are not limited to:  

  • Communications, including cable transmission, data transmission, internet access, and telecommunications  
  • Compressed air  
  • Drainage  
  • Electrical power  
  • Heating, including geothermal, natural gas, propane, and steam  
  • Waste disposal 
  • Water  

 What type of damage does our Service Line product cover? 

This product covers the failure of a service line. In this case, “failure” means a leak, break, tear, rupture, collapse, or electrical arcing. A covered service line failure may be caused by, but is not limited to, the following perils:  

  • Wear and tear, marring, deterioration, or hidden decay 
  • Rust or other corrosion  
  • Mechanical breakdown, latent defect, or inherent vice 
  • Weight of vehicles, equipment, animals, or people 
  • Vermin, insects, rodents, or other animals  
  • Artificially generated electrical current  
  • Freezing or frost heave  
  • External force from a shovel, backhoe, or other form of excavation 
  • Tree or other root invasion 

*Service line failure does not include blockage or low pressure when there is no physical damage to the covered service line.*  

Potential Service Line losses in our program

Insured losses may include damages to covered service lines, excavation costs, outdoor property, and expediting expenses. Below are a few common losses related to service lines and if they are insured:  

Tree roots have grown into your property’s water line, causing a break. As a result, water from the main line fills your yard, and the water bill is 4x the usual amount.  

  • The cost to excavate and replace the water line is insured. 
  • The additional water bill expenses are not insured.  

A tenant flushed multiple non-flushable items creating a clog in the line between the house and the main sewer line. The line remains intact but causes the sewer to back up into the property.  

  • The cost to excavate and replace the sewer line is not insured because there was no physical damage to the service line.  
  • The cost to clean sewer backup damage inside the home is not insured.  
    • NREIG offers the Tenant Protector Plan for instances like these. TPP includes a sublimit of property coverage for Sewer & Drain Backup. Learn more about this offering here.  

A tenant regularly parks their vehicle in the yard, directly over a service line. As a result, the line breaks and must be replaced.  

  • The cost to excavate and replace the line is insured.  

NREIG’s Service Line offering has two coverage limits- $10,000 or $15,000. Although, coverage for lines that are 50 years or older is limited to $2,500. 

Service Line coverage can be added to your locations at any time by endorsement. Contact your Client Service Advisor if you have questions.