If you have a septic system rather than municipal sewer services, you know how important it is to properly maintain the tank and any plumbing associated with it. It can also be useful to know if your homeowners insurance does or does not cover septic. The TL;DR? If you experience a septic malfunction, you may be able to use your insurance to cover the costs — but that largely depends on the cause of the problem. Bankrate’s insurance editorial team explains.
Does homeowners insurance cover septic systems?
Usually, septic tanks fall into the other structures coverage portion of your homeowners insurance policy. This part of your policy covers things on your property that are not attached to your house like a gazebo, shed, detached garage and, in many cases, your septic tank.
In general, other structures coverage in home insurance comes with a policy limit that’s 10 percent of the dwelling limit amount. So if you have $300,000 in dwelling coverage, you would potentially have $30,000 in other structures coverage.
Your other structures coverage may kick in to help pay for repairs to your septic tank — or a full-on replacement — if the tank was damaged by a peril not excluded by your policy. If the top of your tank gets damaged in a fire, for instance, your policy will typically cover the replacement. (We’ll provide more examples of what’s typically covered and not covered a bit later.)
Reviewing your insurance policy may help you understand which circumstances would apply if your septic system sustains damage or a loss. Standard HO-3 insurance policies cover other structures on an open perils basis, so you would have coverage for any peril not specifically excluded by your policy. You should also know that calling on your home insurance for other structures coverage likely means paying your deductible.
What are common reasons for septic system failure?
Septic systems can fail for many different reasons — and unfortunately, not all of them are covered by homeowners insurance. Here are some of the most common culprits behind a septic system breakdown:
- Clogged drains: If a pipe is clogged or blocked, sewage may not be able to move to the tank. You can avoid this by only flushing or pouring acceptable substances into the drain. If a clog happens, a plumber may be able to snake out the line to allow liquid to flow again.
- Blocked inlet baffle: This is the part of your septic system that joins the pipes to the tank. A service professional can unclog it by opening the tank, if possible, or snaking the pipeline.
- Clogged outlet baffle or filter: This may cause sewage to back up into the tank — or worse, into your home. One option if this happens is to have the tank drained and then remove the blockage.
- Failing drain field: If your leach (aka drain) field becomes oversaturated with water, it may cause a backup of sewage into your home. You may notice a wet area around the drain field and increased odors. This may be due to a poorly operating system, or the drain field may be at the end of its usable life and need to be replaced.
By far, most septic failures are caused by poor installation and design or inadequate maintenance. In these cases, it is unlikely that your insurance will pay for repairs.
More infrequently, septic system failure may be caused by a sudden event, such as a fire or storm. Often, homeowners insurance does cover septic system failures like these, and you may be able to file a claim for repairs with your insurer. If you are unsure whether you are covered or not in the event of damage, contact your insurance agent.
What septic tank damage is typically covered by home insurance?
While there are many different types of home insurance, most standard homeowners insurance does cover septic tank collapse, failures and other damage from covered perils. Commonly covered perils include:
- Fire: If a fire causes damage to your septic system in any way, repairs may be covered by your policy.
- Vandalism and riots: If anyone intentionally damages your septic system as an act of vandalism or your system is damaged during civil unrest, it may be covered by your policy, depending on the circumstances.
- Hail, windstorms and lightning: Septic tank damage resulting from any of these severe weather types is likely to be covered.
- Explosions: Most homeowners insurance policies cover damage resulting from explosions. If this affects your septic tank or pipes, your insurance will usually kick in to cover the cost of repairs up to your policy limit.
When are septic tanks not covered by home insurance?
In most cases, homeowners insurance does cover septic tank damage when it results from a sudden, unexpected event (as you might have noticed from the above list). However, home insurance is not likely to cover damage resulting from septic system problems caused by wear and tear or lack of maintenance. So, if you let a nearby tree grow roots into the tank or regularly flush nonbiodegradable items, for example, you may not qualify for a home insurance payout for repairs to the areas damaged.
Additionally, almost all home insurance policies specifically exclude coverage for damage caused by earthquakes and floods. Depending on where you live, you might consider adding separate flood or earthquake coverage.
Septic tank insurance
To further protect yourself financially from costs related to your septic system, you may want to consider adding septic insurance to your home policy. Many standard homeowners insurance policies exclude certain types of damage. However, broader septic coverage may be available through endorsements or other policy options.
Service line coverage
As a homeowner, you are the one financially responsible for the service lines that connect to and go out from your house, including the pipe that feeds to your septic tank. Some home insurance companies might let you add a service line coverage endorsement to your policy for minimal added cost. This endorsement protects your septic pipes, along with other water and sewage pipes, plus your power lines, internet cables and natural gas lines.
Water backup coverage
A septic backup can be an unwelcome surprise in your home or on your property. Fortunately, home insurance endorsements may provide financial protection from these events. Water backup coverage, or sump pump coverage, is a homeowners insurance endorsement that covers repair or restoration costs if water backs up into your home from sewer or drain lines.
Flood insurance
Flood damage is excluded from standard home insurance policies, but you may be able to purchase coverage through a private insurer or the National Flood Insurance Program. Purchasing flood insurance may be a smart way to give yourself an extra layer of financial protection in case your septic tank is damaged in a flood.
How to take care of your septic tank
While water backup and service line endorsements may help you avoid some of the costs associated with septic tank repairs, it is your responsibility to keep your tank functioning at its best. That means you should avoid flushing the following items or dumping them down the drain:
- Oils
- Solids like cigarette butts, paper towels, diapers, baby wipes, coffee grounds and feminine hygiene products
- Grease/fat
- Stains/paints
- Household chemicals
It’s also best practice to make sure that no vehicles drive over the septic system or its drain field. Keep an eye out for nearby trees that might extend their roots into the septic lines, and monitor whether the tank has proper drainage.
The Environmental Protection Agency recommends getting your septic tank inspected every few years and pumped every three to five years. It also indicates that using water efficiently takes strain off your septic tank, helping ensure optimal performance over time. If your home uses a septic system, you might consider installing high-efficiency toilets, faucet aerators or shower flow restrictors to limit your water consumption and put less stress on your septic system.
Frequently asked questions
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