Warsaw Council Considers Homeowners' Lateral Line Insurance Program

The Warsaw Common Council recently reviewed a proposal for an optional lateral line insurance program designed for homeowners, introduced by representatives from the city's Wastewater Utility and the insurance provider HomeServe. This program targets the private sewer and water lateral lines that connect a homeowner's plumbing to the public sewer system, which the homeowner is responsible for maintaining and repairing. Replacement or repair costs for these lines can be substantial, often reaching thousands of dollars, particularly when lines run beneath streets requiring extensive excavation. The insurance program, endorsed by the National League of Cities and Accelerate Indiana Municipalities (AIM), offers three warranty product options: External Water Line coverage, External Sewer Line coverage, and In-home Plumbing & Drain coverage. These products cover repair and replacement expenses up to $8,500 for external lines and $3,000 for internal plumbing incidents, with no deductibles or service fees, and are available to residents without pre-inspection requirements. HomeServe manages all aspects of the program including marketing, billing, customer service, and claims processing, incurring no direct costs to the city. Participation by residents is voluntary, and the city’s endorsement would simply authorize the mayor to sign a marketing agreement facilitating direct mail educational outreach. Pricing is standardized across Indiana, with monthly premiums ranging from $5.99 to $15.99 per coverage option. Council members expressed interest in reviewing program materials further for liability and legal implications before formal endorsement. The initiative arises amid increasing infrastructure maintenance challenges as urban water and sewer systems age nationwide, emphasizing the shifting responsibility and financial risk to property owners for lateral lines. Beyond the insurance proposal, the council addressed routine budgetary updates, including responding to state budget notices and reallocating remaining grant funds to operational budgets. Community acknowledgments included commendations for local event organization and effective municipal snow removal efforts. This insurance program reflects a broader industry trend toward public-private partnerships aimed at mitigating homeowner exposure to costly infrastructure repairs. It leverages educational outreach coupled with insurance solutions to enhance resident awareness and financial protection regarding individual service line liabilities. The program’s structure, involving local contractor networks and non-exclusive city agreements, positions it as a flexible option for municipalities weighing infrastructure risk management strategies. Further details and council decisions will be determined in upcoming sessions after comprehensive review and stakeholder consultation, underscoring the regulatory prudence employed in municipal adoption of such warranty programs. The initiative highlights the intersection of infrastructure insurance, municipal governance, and homeowner risk management within the contemporary U.S. utilities and insurance landscape.