Buried Utility Coverage

Buried Utility (BU) Coverage, or sometimes known as Service Line Coverage, is an endorsement available to homeowners that covers underground utility lines—like water, sewage or gas lines—as well as underground wires like electrical cable, or power lines, on your premises.

What is Buried Utility coverage?

Buried Utility (BU) Coverage is an endorsement for homeowners insurance that covers underground utility lines. BU offers coverage up to $10,000 for damage from a leak, tear, break, or collapse caused by any of the following:

  • A mechanical breakdown 
  • Artificially generated electric current 
  • Wear and tear 
  • Freezing 
  • Weight of people, animals, or equipment 

Why might you need it?

If you’re a homeowner you’re obviously responsible for your own maintenance costs, which can rack up thousands of dollars of debt. The price to replace or repair a utility line can be financially crippling, and as homes age, so do their underground utilities. Standard homeowners insurance usually won’t cover you for broken utility lines.

What does BU not cover?

There are a few types of property excluded from BU coverage, including septic tanks, water well-related damage, fuel tanks, and others. Damage caused by earth movement, windstorm, and certain other perils is also not covered. 

How much does it cost?

BU with Lemonade costs only $3.25/month. Do keep in mind that you’d have a $500 deductible, which would be applied to each BU claim. 

Lemonade will be rolling out BU in the next couple of months in some (but not all) states, so watch this space.


Please Note: These definitions don’t alter the terms, conditions, exclusions, or limitations of policies issued by Lemonade. They are intended for educational purposes only - they’re not meant to be used in lieu of professional legal or financial advice. We’ll do our best to keep them updated, but they may not always reflect current industry developments. Feel free to use the terms with attribution (friends don’t let friends plagiarize!)

Property and casualty insurance provided by Lemonade Insurance Company, 5 Crosby St., 3rd floor, New York, NY 10013. Life Insurance provided by North American Company for Life and Health Insurance®, Administrative Office, One Sammons Plaza, Sioux Falls, SD 57193.

Lemonade Insurance Agency, LLC (LIA) is acting as the agent of Lemonade Insurance Company and Lemonade Life Insurance Agency, LLC (LLIA) is acting as the agent of North American Company for Life and Health Insurance®. Both LIA and LLIA receive compensation based on the premiums for the insurance policies each sells. Further information is available upon request.

LLIA is a sub-producer of Bestow Agency, LLC. Life insurance quotes are provided by Bestow Agency, LLC dba Bestow Insurance Services in CA, who is the licensed agent. Term Life insurance policies are issued on North American Company for Life and Health Insurance® policy form LS181 and LS182, or state version including all applicable endorsements and riders. Products or issue ages may not be available in all jurisdictions. Limitations or restrictions may apply. Not available in New York. Our application asks about your lifestyle and health; your answers allow us to save you time and avoid offline medical exams.