Understanding the Drainage System Endorsement for Homeowners Insurance

If you’ve ever experienced flooding in your basement or crawlspace, you know water damage can be expensive and frustrating to deal with. Many homeowners insurance policies exclude coverage for foundation drainage systems. Adding a drainage system endorsement provides protection if your sump pump or drain tiles fail. In this article, we’ll look at how Shelter Insurance’s drainage system endorsement works and who benefits from this optional coverage.

What Does the Drainage System Endorsement Cover?

Shelter’s drainage system endorsement pays for accidental direct physical loss to mechanical and electrical equipment that comprises your home’s foundation drainage system. This includes:

• Sump pumps
• Sump basins
• In-line backup pumps
• Drainage pipes
• Gravel drainage beds
• French drains
• Related wiring, switches, and outlets

Coverage applies when damage is caused by mechanical breakdown or electrical issues – common problems that can leave your drainage system inoperable. The endorsement also covers drainage equipment damaged by freezing, corrosion, or sediment buildup.

Unlike your main Shelter homeowners policy, the drainage system endorsement pays for sudden and accidental water discharge or overflow from within your home’s drainage system. For example, if a failed sump pump leads to water rapidly flooding the basement.

Key Exclusions and Limits

While the drainage system endorsement expands your homeowners coverage, some important exclusions and limits apply:

• The endorsement will not pay for any repairs to the building structure itself.
• Gradual deterioration or wear and tear that causes the system to work improperly is not covered.
• The limit for this added protection is $5,000 per loss. Higher limits are not available.
• Water damage caused by natural flooding is excluded.
• Collapse or sinking of the building foundation is not covered.
• The drainage endorsement must be added at policy inception. It cannot be added after initiation.

Review the endorsement language closely and ask your Shelter agent to clarify any points you are unsure about Being informed about the coverage boundaries helps avoid frustration when a loss occurs

Is the Drainage System Endorsement Worth the Cost?

The drainage system endorsement costs just $40 annually for most homeowners per Shelter’s rate filing guidelines. This is a small investment to safeguard against potentially massive expense and disruption if your home’s drainage equipment fails.

Here are signs this affordable endorsement provides high value for your individual situation

You have a history of basement flooding – Ongoing drainage problems that result in standing water or seepage make the endorsement a smart buy. Prevent more headaches in the future!

Your home relies on a sump pump – Sump pumps work hard to keep basements dry. Burn out is common. The endorsement protects against sudden pump failures.

Your drainage system is over 20 years old – Aging drain tiles and pipes are prone to cracks and clogs. Coverage provides peace of mind.

You live in a high water table area – Homes near ponds, wetlands, or streams are vulnerable to excessive groundwater entering through foundation walls and floors. The drainage endorsement adds a safety net.

Your area gets frequent heavy rains – From tropical storms to thunderstorms, the endorsement shields against storm-related drainage failures.

For most homeowners, $40 a year is a small price to pay to gain coverage and have the reassurance that a water loss event will not be financially devastating. Protect your most valuable asset with Shelter’s drainage system endorsement.

How to File a Claim Under the Endorsement

If you experience an equipment failure or accidental discharge of water from your drainage system, follow these steps to file a claim under Shelter’s drainage endorsement:

1. Notify your Shelter agent or the 24/7 claims hotline immediately. Early notification is key following any water or flood event to minimize damage. Shelter will arrange for water extraction if needed before permanent repairs.

2. Provide date of loss, details on damage, and damaged property. Explain exactly what drainage components failed or malfunctioned resulting in water escape. Note locations and items impacted. Photos and videos help document the situation.

3. Allow inspection and mitigate further damage. Shelter will send an adjuster to inspect and verify coverage per the endorsement terms. Take reasonable steps like removing wet carpet to prevent further harm. Keep all receipts for mitigation expenses.

4. Complete required paperwork for claim processing. Provide Shelter any estimates, invoices, or other documentation needed to determine the reimbursement amount per your coverage limits. Respond promptly to questions.

5. Receive your claim resolution. Once Shelter completes the claim investigation and settlement calculations, you will be notified of the final decision and applicable payments.

Shelter’s drainage system endorsement provides peace of mind and makes the claims process smooth if your home’s drainage system unexpectedly fails and allows escape of water. Contact your Shelter agent with any questions about this valuable coverage.

Why Shelter Insurance for Exceptional Service

Founded in 1946 and headquartered in Columbia, Missouri, Shelter Insurance has a long-standing reputation for providing outstanding customer service alongside quality insurance protection. The drainage system endorsement exemplifies Shelter’s commitment to offering policy options that meet policyholders’ evolving needs.

Shelter sets themselves apart with pleasant, knowledgeable agents who take the time to understand each customer’s unique situation. You’re not just a number at Shelter Insurance. Expect great service when discussing the endorsement at policy initiation, throughout the coverage term, and in the event of a claim.

Shelter also makes it convenient to manage your policy and pay premiums through online account access and mobile app capabilities. Top-notch service combined with easy account management makes Shelter Insurance a great choice for homeowners insurance and valuable add-on protection like the drainage system endorsement.

Protect Your Most Important Asset

Your home is likely your biggest investment. While you hope to never experience a basement flood or other water damage, it pays to be prepared and have coverage in place if your drainage system fails. For a relatively small yearly investment, Shelter’s drainage system endorsement safeguards your residence and provides peace of mind. Visit ShelterInsurance.com today to connect with a local agent and learn more about this useful homeowners insurance endorsement.