Frequently Asked Questions About Sinkhole Insurance

Sinkholes cause the most damage in Alabama, Florida, Kentucky, Missouri, Pennsylvania, Tennessee and Texas. If you reside in one of these states, you may be wondering about sinkholes and your home insurance. Here are a few frequently asked questions you may have about this topic.

Does My Standard Homeowner's Insurance Protect Against a Sinkhole?

No. Typically, your standard homeowner's insurance will not cover you if a sinkhole damages your home. Sinkhole insurance is an add-on, just like flood insurance is in most states. If you fail to purchase the additional insurance, you aren't covered and protected. This means that you will have to pay for any and all repairs out of your own pocket, which can amount to the total value of your home in some circumstances.

Does Sinkhole Insurance Cover My Car?

If your car is on your property when a sinkhole opens up, you may be wondering if the sinkhole insurance add-on policy will cover your car or whether you need to purchase a separate policy for your vehicle. Unfortunately, this type of insurance will not cover your car if it is damaged or totaled because of a sinkhole on your property. However, if you carry comprehensive car insurance, your vehicle will be covered in the event of a sinkhole. Comprehensive auto insurance protects you against a variety of issues, such as fire, hail, falling trees and theft. As such, if you don't already have this type of auto insurance, it may be something you want to look into. If you have a car loan out on your vehicle, most financial institutions require you to carry comprehensive auto insurance to protect their investment in your car.

What Does Sinkhole Insurance Cover?

A sinkhole insurance add-on will cover any damage done to your home or property by a sinkhole. Most sinkholes are relatively small and cause minor damage such as foundation cracks or cracks in concrete driveways. This type of damage would be covered by your insurance policy. However, some sinkholes are large enough to swallow your entire home. This would also be covered if you purchase sinkhole home insurance, as would your possessions inside of the home.

If you live in a state where sinkholes are common, adding sinkhole coverage to your existing homeowner's insurance policy is wise. It helps protect your home and property against any damage done by them. Getting answers to the questions you have about sinkhole insurance will help you decide if purchasing this type of insurance is ideal for you.  

For an insurance agent, click on this link http://www.collinginsurance.com/ or do an online search.