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Does Standard Homeowners Insurance Include Sinkhole Insurance Coverage?

No, sinkhole insurance coverage is typically not included in a standard homeowners insurance policy.

Because coverage varies by location and provider, it is important to understand the following distinctions:

  • Policy Endorsements: In many states, such as Tennessee, sinkhole coverage must be added to your policy as a separate endorsement or "rider."
  • Mandated Coverage: In some states like Florida, certain types of coverage are mandated. However, insurers often distinguish between catastrophic ground cover collapse (which triggers when a structure is condemned or structurally compromised) and standard sinkhole activity.
  • Deductibles: Even when you have a sinkhole rider, these claims often carry a separate, higher deductible—frequently reaching approximately 10 percent of the dwelling limit.
  • Verification: To confirm your specific coverage, you should review your policy’s declaration pages. Most insurers, such as Tower Hill Insurance, will require a formal assessment from a licensed structural engineer to prove that damage was caused by subterranean activity rather than general settlement before approving a foundation repair insurance claim.

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