Is your septic tank covered by home insurance?

If you’re wondering whether your home insurance covers your septic tank, the answer is: it depends.  

In most cases, septic tanks are protected under the ‘Dwelling Insurance’ or ‘Other Structures’ portion of your policy, covering damage from events like fire, lightning, or windstorms.  

However, issues like septic tank backups are not included in standard coverage and require an additional sewer backup endorsement. It’s also important to note that damage caused by neglect or lack of maintenance is typically excluded. 

Here’s what you need to know to make sure you’re protected. 

Does your home insurance policy cover septic tanks? 

If your home relies on a septic system, it’s important to know whether it’s protected by your insurance policy. 

Septic tanks are commonly used in areas without access to municipal sewer systems. These underground systems collect and treat household wastewater before safely releasing it into the environment. 

Now whether your septic tank is covered by your home insurance policy depends on the type of damage and what is included in your policy. 

Generally, septic tanks are covered under the ‘Dwelling Insurance’ component of a home insurance policy, as they are considered a built-in home appliance. They may also fall under ‘Other Structures’ coverage—alongside things like fences, sheds, and pools. This means damage caused by events like fire, lightning, hail, windstorms, explosions, or even falling objects is typically covered.  

Read more: How much home insurance do you need? 

What about septic tank backups? 

Septic tank backups are a different story. A septic backup happens when the tank becomes full or clogged, causing wastewater to flow back into your home through drains or toilets. This is similar to a sewer backup, which occurs when a municipal system overflows into your home. 

Standard home insurance policies in Ontario do not cover damage caused by either type of backup. To be protected, you’ll need to add a sewer backup endorsement to your policy—an optional add-on that covers cleanup and repairs related to these messy and costly incidents. 

Related: Three home insurance endorsements to consider based on where you live 

What happens if you don’t maintain your sceptic tank? 

While standard home insurance may cover some damage to and from your septic tank, and additional sewer backup insurance can protect against septic system backups, that doesn’t mean you’re completely in the clear. 

Think you’ve got all your bases covered? 

Not so fast, slugger. 

Septic tanks must undergo regular maintenance in order to function properly. As time passes, the tank may fill up, causing a back-up. Your insurance policy is unlikely to cover damage caused by negligence or lack of maintenance. 

To minimize the damage to your septic tank, make sure you do the following: 

• Have your septic tank pumped regularly. 
• Avoid flushing non-biodegradable materials down the toilet. 
• Use a drain filter to prevent solids from entering the tank. 
• Make sure you’re not driving heavy machinery or building structures over your septic tank or pipes 
• Get your septic tank inspected every two to five years. 

Is your vacation home’s septic tank covered? 

The above holds true for any rural home. However, if your septic tank is located at a property that’s only occupied seasonally—like a vacation home—there may be additional factors to consider. 

The insurance coverage for a cottage or a vacation home may differ between policies. The factors that affect your coverage and premium include how often the home is occupied and who has access to the home (just immediate and extended family? Or renters?). 

Vacation homes and cottages can be insured either as standalone properties, or as a secondary or seasonal location as part of your home insurance policy. 

Just like with a home insurance policy, certain damages are excluded from standard policies. These include septic backup and flooding, fuel oil leaks, earthquakes, and damage to vehicles, campers or trailers, or buildings for business use. 

Related: Renting out the cottage this summer? Consider the insurance implications 

How can you avoid septic tank disasters? 

The last thing you want is to come home to a septic tank disaster—whether it’s in the middle of the night or after spending months away. And let’s face it, no one enjoys the headache of digging through insurance documents to figure out if the damage is covered. 

To save yourself the trouble later, make sure you have the right coverage for your needs. This means understanding the coverage provided by your policy and purchasing the necessary endorsements for your cottage or primary home. 

If you're unsure about anything in your policy, it never hurts to speak to your insurance broker for guidance and to compare home insurance quotes to make sure you’re getting the best rate for your policy. 

And above all, make sure you’re regularly taking care of your tank! A little maintenance can save you from a nasty, smelly, biohazardous mess down the road.