New sinkhole insurance laws

By: Brittany Benner

Tallahassee, Florida -- There's a new law that gives homeowners the choice to insure their homes against sinkhole damage.

Without the extra sinkhole coverage, you're basically on your own when it comes to ponying up the dough and fixing up your house from sinkhole damage unless your home is condemned.

"I've been here 18 years and never seen anything like this before," said rural Live Oak homeowner Melvin Lee.

He discovered a giant sinkhole in his backyard a little more than a week ago. "We're just shocked. You know, what can you do?" he asked as he observed the 51x35 foot hole near his house.

Fortunately, Lee's house was spared. Under the new law, damage to your home isn't covered by basic homeowners insurance.

"The coverage that you'll be removing relates to the wall cracking, side-wall cracking, roof-settling type of claim. It will not apply to your sudden collapsing-type event," said State Farm Insurance Spokesperson Justin Glover.

There's a new law that allows homeowners to eliminate sinkhole coverage in exchange for cheaper rates.

"The reason Florida is full of sinkholes: rainwater touches the limestone and dissolves it away," said Harley Means.

Means is a Geologist with Florida's Department of Environmental Protection. He showed us how limestone dissolves into what looks like a piece of Swiss cheese when a slightly-acidic substance like rain seeps into the rock.

Limestone can be found beneath the earth's surface throughout Florida.

"During periods when we have a drought and we're going back into normal rainfall, or we get a tropical event, or a lot of rainfall is dumped over a short period of time, sinkhole frequency will increase," said Means.

With that in mind, it's your choice to save money on your homeowners insurance or sink more green into your policy.

Geologists estimate there are thousands of sinkholes throughout the state, but it's difficult to determine exactly how many there are in a given area. There are patches throughout the state like Pinellas and Pasco counties that are more prone to sinkholes.

Your insurance rates will vary depending on where you live and how much "reported" and "recorded" sinkhole activity is in your area.

If you have questions about your policy, make sure to contact your insurance agent. You can also contact the Florida Geological Survey for questions regarding sinkhole activity in your area at 850-488-9380 or www.dep.state.fl.us/geology.