Oil Leak And Underinsured?
Your Home Insurance Coverage Affects Oil Leak Costs.
If your home is not fully insured, you'll have to cover some of the cost of Oil Leak remediations.
At an industry standard rate of €220 per sq. foot, the costs can add up. Use our handy Oil Leak Insurance calculator below to estimate your coverage and costs.
Our team is here to assist you every step of the way. If you have questions regarding home insurance coverage and costs, contact us immediately for a consultation.
Use our Home Insurance Oil Leak Calculator
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Enter your home's approximate square footage.
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Select your home insurance coverage percentage.
- Estimate your insurance payout amount, and out of pocket expenses.
The Hidden Risk for Irish Homeowners Facing Oil Leaks
Most homeowners do not realize they are underinsured until they need to make a claim. By then, it is too late. This issue becomes even more serious when dealing with costly damages such as oil leaks from home heating tanks.
Why Are So Many Irish Homes Underinsured?
1. Rising Construction Costs
With rising costs for materials and labor, many homeowners have outdated insurance policies that do not reflect current rebuild values. The industry-standard rebuild cost is now approximately €220 per square foot.
2. Market Value vs. Rebuild Cost
Many homeowners insure their property based on its market value rather than the actual cost to rebuild, which leads to coverage gaps.
3. Lack of Policy Updates
Many policyholders set their insurance coverage when they buy their home and never update it, leaving them exposed to underinsurance.
4. Underinsurance Penalties
Insurance companies apply an “average clause,” which means if you are 20% underinsured, your payout will also be reduced by 20%.
The Risk of Oil Leaks
One of the most expensive claims for homeowners in Ireland is a kerosene oil leak. These leaks can cause:
- Soil contamination
- Structural damage
- Water supply pollution
- Environmental clean-ups costing tens of thousands of euros
Oil Leak Remediation Costs
Oil leak clean up and repair costs can easily exceed €50,000 if there is extensive damage. Many insurance policies have coverage limits that do not fully cover these costs.
How to Check If You Are Underinsured
1. Calculate Your Rebuild Cost
Use our cost calculator to estimate your coverage amount and expenses at an industry standard rate of €220 per square foot.
2. Review Your Insurance Policy
Ensure your sum insured matches the actual rebuild cost. Contact your insurer to update coverage if needed.
3. Check Your Oil Tank Cover
Confirm that your policy includes full environmental clean-up coverage in case of a leak.
4. Inspect Your Oil Tank
Regular maintenance and inspections can prevent costly leaks and disputes with insurers.
Check your home insurance policy today and ensure you are fully covered before it is too late.
If you are experiencing an oil leak and don't have full coverage, contact us to discuss your options.
