The root of the problem
SUBSIDENCE may be the word homeowners fear most and it is making an unwelcome comeback, as claims soar and experts say climate change will make the problem worse.
This year’s long hot summer is to blame for causing a “subsidence shockwave” that has seen claims quadruple to the highest level in more than a decade.
More than 10,000 households made claims totalling £64 million between July and September at an average cost of £6,400 each, according to new figures from the Association of British Insurers (ABI).
This is up from just 2,500 in the previous three months and the highest quarterly number since the record-breaking heatwaves of 2003 and 2006.
Given the danger, it may be worth checking your house for cracks and taking steps to protect it in future.
HIGH AND DRY
Properties built on subsidence-prone clay soil, widespread in the South-east, are most vulnerable to subsidence. Problems start when the ground beneath a building dries out and shrinks because of a lack of rain and trees sucking moisture out of the soil, causing property foundations to settle.
ABI senior policy advisor for property Laura Hughes said do not panic if you spot a crack in your home, subsidence is not always the reason: “The cracks usually appear suddenly, rather than gradually, and are usually diagonal and wider at the top than the bottom.” The damage is often found around doors and windows, which may start to stick, while wallpaper rips or crinkles.
Dominic Bird, chief executive of AA Underwriting Insurance, said late Victorian properties are most at risk with recent homes less vulnerable: “If you can slot a pound coin into a crack in your home, subsidence is almost certainly the cause.”
CRACKING ON
Subsidence is a standard risk that should be covered by your buildings insurance policy, provided you have one. Bird said you should contact your insurer as soon as possible if you spot cracks: “It will arrange a survey and if subsidence is the cause, appoint contractors to put the problem right.”
However, there is no instant solution. He added: “It can take several months to identify the cause, take remedial action, such as removing nearby trees, and undertake what may be extensive repairs, such as underpinning and restoration of any damage.”
If your home is uninhabitable during this process your insurer will cover the cost of alternative accommodation until you are able to move back in, the ABI said.
BEST POLICY
Brian Brown, head of insight at financial data group Defaqto, warned that the claims process can be lengthy and unsettling: “Policy wordings can be ambiguous as it is not always clear whether the insurer will pay for putting the problem right, known as remediation, or offer compensation for the loss of property value.”
Claims can take time to settle as insurers may insist on monitoring your home before deciding what to do. “This can be frustrating for the homeowner as they sit tight and play the waiting game,” Brown said.
He added that if you do make a successful claim, your premiums are likely to increase in future as you are considered a higher risk: “You also have to pay a steep excess of at least £1,000 from your own pocket.”
Subsidence is a specific peril and insurers may not pay out for similar problems, such as landslip, new homes or extensions that “settle” over the years, and sinkholes.
SINK ESTATE
Willow and oak trees can drink up to
200 gallons of water every day and Brown advised against planting trees or shrubs too close to your home: “Consult a specialist tree surgeon about how to manage existing trees near your home. Do not cut corners when doing major works or an extension, as this could be a false economy if the building does not have proper foundations.”
Finally, make sure you have adequate buildings insurance before problems occur.