The following information was sent to us by the City’s liability insurance carrier:
During the 2008 legislative session, Maryland’s General Assembly enacted HB 72 regarding homeowner’s coverage for water and sewer backup losses. For some time, §19-202 of the Insurance Article has required private insurers that sell homeowners’ insurance policies in Maryland to offer water and sewer backup coverage. Unfortunately, most insurers were offering the coverage only if the homeowner requested it. Effective October 1, 2008, all homeowner insurers that sell policies in Maryland must offer this coverage to policyholders in writing by certified mail within 7 days after the date the policy is initially placed or at the time of each renewal.
Homeowners should know that they can protect themselves from unavoidable backups that may occur (even if the problem is in their own line) by purchasing the coverage which must be offered by their homeowner insurer.