Service Line Coverage

You may not realize that as a homeowner you are responsible for the underground service lines that run from the street to your home. A number of problems can occur with these lines, such as rust, corrosion and system breakdowns, and they’re not covered under most home insurance policies.

Service Line Coverage protects you from losses due to damage or failure of these lines by extending your home insurance coverage to underground piping, wiring, valves and more.

Let CAA Manitoba Insurance help shield you from unexpected and costly repairs. If you have a CAA Insurance Company policy, you're eligible to receive Service Line Coverage for as little as $15/year! For more details, call 1-855-779-0677 to speak with a CAA Manitoba Insurance Agent.

What's included in service line coverage?

This product provides coverage for:

  • Damage to your underground service line that is the result of a failure of this line. Problems that can occur include: wear and tear, rust, corrosion, decay, deterioration, defects in the line, freezing, collapse of the line (not including sinkhole collapse) and electrical, mechanical or pressure systems breakdown.
  • Costs required to repair/replace the damaged covered service line that is the result of a service line failure.
  • Your outdoor property that is damaged as a result of a service line failure or that is damaged during the excavation of this line following its failure.
  • Extra costs to make temporary repairs or to expedite permanent repairs/replacements to your service line that is damaged as the result of a service line failure.
  • Damage to wiring used for communication or data transmission.
  • Additional living expenses and rental values.

How does the coverage work?

Adding this coverage to your homeowner policy, you can get protection against such instances as stated above, which average $6,000 per occurrence. There is a deductible of $500 and a coverage limit up to $10,000 per occurrence.

Examples of service line failures.

A tree root grew through a sewer pipe located on a homeowner’s premise, causing the pipe to leak. The sewer line was 200 feet long and required a backhoe to dig up and replace the damaged piping. The cost to replace the sewer line was $1,750 and the excavation cost totaled $4,050.

Loss: $5,800
Deductible: $500
Insurance Recoverable: $5,300

During a cold spell, the pipe connecting the public water line from the street to a home sustained freeze damage and ruptured. The homeowner had to have the water line excavated ($3,900) and replaced ($1,000). The contractor involved had to remove a number of trees and shrubs before excavating; the replacement cost for the trees and shrubs was $950. Because of the extensive repair work needed, the homeowner also had to stay in a hotel for two nights, at a total cost of $750.

Loss: $6,600
Deductible: $500
Insurance Recoverable: $6,100

An underground power line providing electrical service to a home deteriorated over time, causing an interruption in the service to the home. Due to the extensive damage discovered during the repair work, the power line had to be excavated ($5,300) and replaced ($2,500).

Loss: $7,800
Deductible: $500
Insurance Recoverable: $7,300