CPIA has developed a unique, insured service plan designed to protect homeowners, on a non-fault basis, against damages or losses created by broken private lateral lines (Sewer and Water) which are not normally covered under homeowner’s insurance policies.

The program is designed as a customer service benefit offering by public or private sewer and/or water utilities and JPA's, who are dedicated to preserving and restoring both the public and private system infrastructure within their communities, many of which are facing challenges due to age and environmental conditions. Our program covers both sanitary and fresh water lines from the connection to the home, and we also offer a Septic Tank Service Plan for residents not connected to your sanitary system.

The Lateral Lines Service Plan is very similar in concept to the service plans telephone utilities offer their customers for free in-home telephone service repairs, if the customer opts-in and subscribes to the monthly service plan fee, which is added to their monthly billing statement. Due to the overwhelming environmental, health and safety, and economic issues relating to private lateral line degradation, and homeowner propensity to procrastinate due to the cost of repairs, an opt-out program is recommended to achieve the highest level of voluntary participation from your residents.

By amortizing the expensive lateral lines repair costs (typically $4,000 to $5,000 per repair) over a broad base of customers, on a monthly basis, for a small service plan fee (average $5.75 per month) homeowners can receive repair and replacement services up to $5,000 in repairs per year. The work is done by a local contractor selected by the homeowner, and the insurance company reimburses the homeowner under the terms and conditions of the Service Plan. There is a $100 deductible per claim. Your Agency can also elect to be the repair agency under the Plan.

In essence, the homeowner gets to amortize and pay-off his repair costs over 869 months ($5,000 ./. $5.75 = 869 months). However this is only theoretical as the customer has no obligation to renew the coverage and has no obligation to pay anyone if they move after a repair claim.