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Levels of COver
Subsidence
Subsidence is a problem that develops when changes under ground
cause foundations to shift and stop supporting the walls as they
should.
Subsidence is one of the most costly problems that can befall your
property, but it is usually one that is covered by your buildings
insurance policy, though there is generally an excess level of £1,000.
If the subsidence is caused by water escaping from the drainage
system then the excess level can be as low as £50. However,
it is worth checking the small print to see what your excess levels
are and if other buildings such as garden walls are covered. Even
in the scenario of a home's value being irrevocably damaged a cash
settlement can be made to reduce the mortgage in the first instance
and retain the cash balance thereafter.
There are many reasons for a house to suffer subsidence. Some of
the most common are:
- Clay soil under a home shrinking in the summer when dry and
expands when wet causing the foundations to move. This in turn
upsets the structure of the house and can cause the walls and
plastering to crack.
- Past mining in the area, such as the tin mining in Cornwall.
- Extracting water from the ground for some commercial activity.
- Other human activities, such as tunnelling for drains as in
Newcastle building the Metro underground tube system.
- Building property on landfill sites - aside from the potential
health hazard, this is one of the main reasons why it is not normal
to find homes built on them.
- The tell-tale signs of subsidence are usually cracks or bulges
in the walls or floors of a building.
Further reading on levels of cover:
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