Does Car Insurance Cover Sinkholes?

  • car in sinkhole

If your car happens to fall into a sinkhole, it is not your fault. However, this does not necessarily mean that you will have auto insurance to cover you. This is entirely dependent on the policy that you have in place with your current insurance provider. If sinkholes are a problem in your area, you might want to consider making sure that you have the right coverage on your policy. A sinkhole can cause a lot of damage to your vehicle and having the proper coverage can give you some peace of mind.

What exactly is a sinkhole?

sinkhole

A sinkhole is a naturally occurring movement of the ground. Sinkholes can be relatively shallow or they can be extremely deep. They can literally happen in the middle of an intersection or in your driveway. They are caused by some sort of layer below the earth’s surface collapsing. The collapse is usually due to a build-up of water and corrosion over time. If your vehicle falls into one of these holes, it can do substantial damage to it. These naturally occurring holes are almost impossible to predict. Amazingly, the size of the hole can be very deep, which means that your car has a long ways to fall. The largest sinkhole in the world is 987 feet deep, which is not something you are going to want to drive your car into.

Does car insurance cover sinkholes?

To put it in general terms, yes, your car insurance does in fact cover sinkholes. A basic insurance package might not though, depending on the insurer. You should be able to add this insurance to your policy, however, if you desire to. It is also important to realize that the amount of coverage you have is reliant on what you decided upon with your insurance provider. There are different levels of coverage that you can get and it is important to make sure that you have enough to give yourself some peace of mind.

Will the insurance company repair the sinkhole?

Unfortunately, if your car falls into a sinkhole, your automobile insurer won’t cover the repairs of the sinkhole. Automobile insurers are there to cover you and any damage that is done to your vehicle. The company might pay for your car damage if you have the right insurance coverage. However, don’t expect to receive compensation for the sinkhole itself. If you are looking to receive compensation to repair the sinkhole itself, you’re likely going to have to look at your home insurance plan. There are lots of home insurance plans that have coverage for natural disasters. If you’re curious to see whether you have coverage or not, get in touch with your insurer. If you currently don’t have coverage for it, you might be able to add it.

How do you repair a sinkhole?

sand

If you improperly repair a sinkhole and it is located at your house or near your house, you run the risk of falling into the sinkhole again. Sinkholes don’t have to be deep to cause damage to your vehicle. If your car bottoms out, it is likely going to cause damage. The first step to repairing a sinkhole is to fill the hole with clay and sand. Make sure that you overfill the sinkhole as it is likely going to settle a little bit over time. Next, make sure that the surrounding area does not have water pooling around it. The ground should be sloped away from the sinkhole for a good length in order to make sure that the sinkhole does not reappear. The final step you might want to take is planting things on top of the sinkhole to help suck up water as much as possible.

How much does sinkhole insurance cost?

The nice thing about sinkhole insurance is that there is not a specific policy regarding sinkhole insurance. This essentially means that there is one broad insurance policy capable of covering you against sinkholes and other natural disasters. This policy is called compensation coverage. If you add compensation coverage onto your insurance, it will increase your insurance premium. However, in the event a sinkhole or other natural disaster occurs and damages your vehicle, you will receive compensation. The amount of compensation you will receive depends on what you negotiate with your insurance provider. The more money you pay per month for this insurance, the more compensation you will receive when an accident takes place.

Sinkhole insurance Canada

Although your odds of falling into a sinkhole are quite low in Canada, you never really know. These things can happen to anyone at any time. Falling into a sinkhole will certainly cause a lot of damage to your vehicle. It is highly unlikely that you’re going to be able to drive out of the sinkhole on your own. For this reason, if you are worried about falling into a sinkhole, we suggest you get a roadside assistance package.

Roadside assistance package:

towing

Roadside assistance packages are designed to help give you assistance on the side of the road when you need it. If you happen to fall into a sinkhole, a roadside assistance package is going to be extremely handy. Roadside assistance packages almost always include towing you if you are stuck on the road. If you fall into a sinkhole, you will almost definitely need to be towed out of it. You also are likely going to have such substantial damage that you’re going to need to go to a shop. This will save you the cost of towing and it will also cover you for when you get stuck on the side of the road due to other reasons.

To Conclude

A sinkhole is a natural phenomenon that you cannot really prepare for. Falling into a sinkhole can cause serious damage to both your vehicle and yourself. Although you currently might be worried about damage being done to your car, you might not be worried about the damage that could be done to yourself. It is extremely important to make sure that you have proper medical and rehabilitation coverage. Insurance is not just important for your vehicle, it is extremely important for your own health and well-being.

Resources:

http://www.cnn.com/2016/07/28/asia/south-china-sea-sinkhole/index.html

https://www.fairfaxcounty.gov/nvswcd/drainageproblem/sinkhole.htm

http://www.onlineautoinsurance.com/coverage/sinkhole-damages/