There are two options for property owners, when it comes to looking for
sinkhole insurance and for
sinkhole solutions. You can elect, with most insurance companies, for standard sinkhole coverage. This provides coverage to the home, for the repair to the foundation, to the sinkhole, and to the structure.
This can be costly, and was originally a mandated provision in all property insurance in Florida. To give you a sense of how important this is, sinkhole coverage was the only Catastrophic Ground Collapse and Sinkhole Insurance.
Option 1: Standard Sinkhole Coverage
There are two options for property owners, when it comes to looking for
sinkhole insurance and for
sinkhole solutions. You can elect, with most insurance companies, for
standard sinkhole coverage. This provides coverage to the home, for the repair to the foundation, to the sinkhole, and to the structure. This can be costly, and was originally a mandated provision in all property insurance in Florida. To give you a sense of how important this is, sinkhole coverage was the only
required insurance coverage in property insurance policies. This covers damage, for example, if you have sinkhole activity not just under your home, but also near it where most
sinkhole activity is found. Due to the extensive nature of sinkholes in Florida, most mortgage companies require this for property insurance. For people who are concerned not simply about safety but also loss of value caused by sinkholes, this is the coverage you should purchase.
Option 2: Catastrophic Ground Collapse Coverage
Catastrophic ground cover collapse is not sinkhole coverage. Instead, it provides coverage when homes collapse and become uninhabitable. In fact, to obtain coverage under this provision, the home must be legally declared condemned, which means it is unsafe for you or others to live in it. There have been several recent sinkholes in the news, where sinkholes have opened up in the yards of the property. Note, while these
sinkholes are large enough to eat a car (like the one at Bordeaux Condominiums), there would be no coverage for this loss (the condos were not condemned, ergo, no coverage). Imagine trying to sell your home, telling them that while there is no sinkhole activity at your house, there is a 10-foot wide hole in your yard, 22 feet deep. Good luck. In our opinion, this “
coverage” is an illusion, designed to give people the impression they have some form of “limited” sinkhole coverage, when they do not.
I believe people should have choices, and these two options are the choices Florida offers you. While I would not tell you which one to buy, I do think you need to understand what you are buying and whether it meets your objectives.
If you have a situation requiring legal representation for a
sinkhole damage claim, contact Corless Zinober FL personal injury lawyers at 866-969-2889.
No Comments
Leave a comment