In response to a recent article by Saugeen Times, Mike Van Horne, General Manager for Service Line Warranties of Canada (SLWC) and lead for the local team bringing services to Canadian homeowners has said that, by sharing the details of the available plans, homeowners will have the information they need to make the best decision for their household.
“I was not surprised to read the comment by the Insurance Bureau of Canada representative about the program given that his trade association represents insurance agents,” said Van Horne. “With that said, we do agree with him that homeowners should always check what existing coverage they have under their homeowner’s insurance. The reality is that basic homeowner’s insurance does not cover these types of repairs and, unfortunately, homeowners are responsible for the repair and the replacement of broken, blocked or failed utility lines on their property. While most basic homeowner’s policies will pay to repair the consequential damage that results from failed utility lines, they do not cover the repair itself.”
According to Van Horne, homeowners should keep two additional considerations in mind:
First, some – not all – home insurers offer a ‘rider’ that can be added to basic homeowners’ insurance for an additional charge. In the cases where an additional insurance rider is available, they often come with deductibles that typically range from $500-$1,000. Van Horne says that an SLWC service plan covering a utility line has no deductible. If a homeowner has a single claim in a year under the homeowner’s insurance option, they will pay substantially more than they would with a zero-deductible SLWC plan.
Second, finding a trusted home repair contractor can be a big hassle. Van Horne adds that SLWC takes the challenge out of finding a contractor to do the work. With a claim under an insurance rider, the homeowner is usually responsible for finding a qualified and trustworthy contractor to complete the repair, pay them and wait for reimbursement. With an SLWC plan, a vetted local contractor from our service network will come and make repairs. This, along with the fact that SLWC pays the contractor directly, takes a lot of the inconvenience and cost out of a home emergency repair.
“I hope this additional information is helpful and welcome questions as we definitely share the same goal of getting accurate and thorough information out to Canadian homeowners,” said Van Horne.
