‘Water Line’ Insurance Offer Not Affiliated with City, Madison, Wisconsin Says

The City of Madison, Wisconsin, has issued a warning to water utility customers regarding letters that are being sent to homeowners by a company claiming to offer insurance coverage for water lines to the home.

Madison Water Utility said it has received dozens of phone calls and inquiries from homeowners about letters from a company called Service Line Warranties of America (SLWA) that offer insurance for water service lateral lines, the pipe that runs from the water main under the street to a home.

Some callers believe the letters appear to indicate that water lateral coverage is required by the city or that they concern their existing sewer line coverage, according to the city. Not so, the city said. The company is not affiliated with the City of Madison or with Madison Water Utility, and the letters are part of a widespread sales campaign.

The city acknowledged that that water service line repairs are a homeowner’s responsibility and advised reading the fine print any insurance policy before buying coverage. Madison officials also noted that water service lines are much smaller (1-inch diameter) than sewer lines and are often made of copper, while some older sewer lines are made of a brittle clay-like material.

Madison Water Utility does not make any recommendations with respect to insurance coverage for water lines on private property. Decisions about whether or not to insure water lines are completely up to the property’s owner, the city said.

People who received the mailers are advised to talk with their homeowners insurance agent to see if this type of coverage is worth the cost, city officials said.