Mine subsidence insurance is one type of insurance that many people are unfamiliar with. This is mainly because it only affects people who live in certain geographical locations of the United States like Pennsylvania, West Virginia, Kentucky and Ohio. Basically, this type of policy is designed to cover you in the event that you experience property damage or loss that results from the collapsing of a man-made mine. Let's now go over mine subsidence insurance in more detail and try to help you decide if it's right for you. 

Why You Might Need It

As many people know, coal mining was big business in certain parts of the United States and 25 states still mine coal today. One of the major areas for mining was in western Pennsylvania, eastern Ohio, eastern Kentucky and West Virginia. As a result there are numerous abandoned mines and sinkholes in this area. In fact, in Pennsylvania alone, there are more than 1 million homes that sit on top of these abandoned mines. This can be problematic because these mines have the potential to bring about mild to serious damage to homes that are situated on top of them. In milder cases, this can mean a few cracks to the foundation of a home. In more severe cases, this can result in a home collapsing and being completely lost. For this reason, abandoned mines can be a serious headache for homeowners who happen to live in this region of the U.S.

What It Protects Against

The extent of damage that can occur from abandoned mines can differ dramatically, but mine subsidence insurance will cover you for the following. First, it covers minimal damage that simply affects the aesthetics of your home like minor cracks in the walls or on the ceiling. Second, it covers mild structural damage like if your door won't close correctly because of foundational shifts. Lastly, it will cover you in the event that your home is destroyed because of a collapsed mine. 

Why It's A Good Idea

While experiencing minor damage to that merely affects the aesthetics of your home isn't usually that big of a deal, serious damage that affects your foundation is. If your home happens to be completely destroyed or uninhabitable, this can lead to some huge financial setbacks that most homeowners are unequipped to handle without mine subsidence insurance. For this reason, having this type of insurance can help you significantly if you ever happen to experience complications from an abandoned mine. Although a good number of homeowners in the United States would consider mine subsidence insurance to be pointless, those living the aforementioned areas would be smart to invest in it. This way you can rest assured that you will be adequately covered if a mine does result in damage to your home. In fact, you can usually be covered for up $500,000.