Service Line Coverage in Ontario

A service line refers to the underground or above-ground pipes, conduits, or cables that connect a property to the municipal or utility service infrastructure. These lines deliver essential services such as water, sewer, drainage, gas, electricity, or internet connectivity to residential and commercial buildings.

Here are some common types of service lines :

• Water service line : This line connects a property to the municipal water supply system. It carries potable water into the building for various uses such as drinking, bathing, cooking, and irrigation.
• Sewer service line : The sewer service line carries wastewater from the building's plumbing fixtures, such as toilets, sinks, and drains, to the municipal sewer system or a septic tank.
• Gas service line : Gas service lines deliver natural gas or propane from the utility provider's main line to a property. They supply fuel for heating, cooking, and other gas-powered appliances.
• Electrical service line : This line carries electricity from the utility provider's power grid to a property's electrical panel. It powers the building's lighting, appliances, and electrical systems.
• Telephone and internet service lines : These lines transmit telephone signals and internet connectivity from the service provider's network to the property.

Understanding the types and conditions of the service lines on your property is important for ensuring proper maintenance, identifying potential issues, and obtaining appropriate coverage to protect against unexpected damages or repairs.

Service line coverage is an element of an insurance policy that protects homeowners from costly repairs or damages associated with service lines that are connected to their properties. Unfortunately, these lines are susceptible to damage due to various factors, including tree root invasion, ground shifts, aging, and severe weather. The repairs or replacement of service lines can be a significant financial burden, often costing thousands of dollars.

In Ontario, homeowners are typically responsible for maintaining and repairing their service lines from the point where they connect to the municipal service infrastructure to their property. This is where ensuring you have an adequate amount of service line coverage on your Ontario home insurance, becomes crucial, as it can help offset the financial impact of unexpected repairs or replacements.

Service line coverage typically protects against wear and tear, deterioration, mechanical breakdown, or accidental damage. It can cover costs associated with excavation, repair, replacement, and even living expenses during the repair process.

It is important to note that service line coverage may vary among insurance providers. Some policies might have specific exclusions or limitations, such as only covering damage caused by sudden events rather than gradual deterioration and various deductibles. It's crucial to review your policy carefully and consult with your provider to understand the specifics of your coverage.

The cost of service line coverage can vary depending on several factors, including the insurance provider, the specific coverage limits and deductibles chosen, the property's location, and the service lines' age and condition. On average, the cost of adding service line coverage to a homeowners' insurance policy can range from $30 to $100 per year.

While the additional premium for service line coverage may seem like an extra expense, it can provide significant financial protection and save homeowners from incurring substantial out-of-pocket costs in the event of service line damage.

Depending on your policy and the cause of the service line claim, you may be covered in the following areas:

• Excavation costs : You’ll potentially be covered for the costs of extraction needed to expose and repair the damaged lines.
• Loss of use : Additional living expenses may be covered if your home becomes uninhabitable from the service line disruption.
• Outdoor property : If your outdoor property - plants, patios, or fences are damaged, replacement might be covered.
• Repair expenses : Additional costs of temporary repairs.