Can home insurance cover subsidence?

Subsidence can be a nightmare for homeowners, but finding the right insurance policy can give you peace of mind.

What is subsidence?

Subsidence occurs when the ground beneath your home moves, often causing the foundations to sink. If your home suffers subsidence, you may see cracks appear on the inside and outside of the building. You may also find doors and windows do not close properly or stick.

 It is commonly caused by:

• Nearby trees and plants changing the moisture levels beneath your property

• Old mining works under your property

• Leaks from underground pipes or poor drainage that add extra moisture to the ground beneath your property

• Clay soil, which moves more than other types of earth in response to moisture - it expands more when wet and contracts more when dry

What about heave and landslip?

Heave and landslip are similar to subsidence:

• Heave occurs when your property moves upwards rather than downwards. It is usually caused when the ground beneath your home becomes waterlogged.

• Landslip is when the land under or around your property moves or slips sideways through erosion, falling or being on a slope.

What is subsidence home insurance?

You can claim back the cost of repairing your home following subsidence damage, but not all insurers cover it.

Most standard buildings insurance policies will cover your property if it has not suffered from subsidence in the past, but many will refuse cover if it has. . This is because the cost of repairing subsidence damage can be very expensive, with the bill for underpinning a property likely to be up to £2,600 per square metre. 

If your home has suffered subsidence damage in the past you may need to look for a specialist policy.

You can find out more about home insurance here.

What does subsidence insurance cover?

If your property is damaged by subsidence, heave or landslip, you can claim to cover the cost of the repair up to the sum insured under the buildings cover of your policy.

Most policies also cover any damage to things like solid floor slabs, outdoor swimming pools, patios, garden walls, footpaths and driveways.

Common exclusions

Most insurers only cover damage to things outside of your property if your home has been damaged at the same time.

For example, if your driveway is damaged as a result of subsidence your insurer will only cover the cost of the claim if your home has also been damaged. Your claim may also be rejected if the subsidence was caused by:

• Water or oil escaping from fixed water or heating systems

• The normal bedding down of new buildings

• Coastal or river erosion

• Demolition or structural changes to your home

How to get subsidence cover

If you live in an area at risk from subsidence, or have made a claim for damage before, the insurer may ask you:

• When the property suffered from subsidence

• The cause of the subsidence

• How it was fixed 

• Whether it was all or partially underpinned 

• Whether there has been any movement since repairs were carried out

• The cost of any previous claims

The subsidence insurance quote you are offered will be based on the answers you give to these questions.

You may be asked to prove the problem has been corrected. The insurer may ask to see your:

• Structural engineer reports

• Structural buildings survey

• Home buyers report

• Certificate of structural adequacy

Some insurers may also request to see one of these documents each time you renew your policy.

Check the excess

The excess that you need to pay in the event of a subsidence claim may be much higher than the standard policy excess.

This is because repairing subsidence damage can cost tens of thousands of pounds, so insurers set a higher excess to offset the cost, and deter you from making an expensive claim.

You can find out more about home insurance excess here.

Get a policy without subsidence cover

If you cannot find an insurer willing to cover your property at an affordable price, you could see if you can get a policy without subsidence cover included.

Not all insurers let you do this, but some specialist companies might so it is worth shopping around.