Bill That Would Mandate Coverage of Failing Foundations Advances Through Committee
March 16, 2016

A bill that would require homeowners’ policies to cover mitigation undertaken to prevent a covered property from collapsing or caving in advanced through the Connecticut General Assembly’s Insurance and Real Estate Committee (“Committee”) Tuesday. HB 5522, which was introduced by Rep. Robert Megna (D-New Haven), was proposed in the wake of the filing of more than 150 complaints with the Dept. of Consumer Protection by homeowners who have alleged that their foundations are failing due to chemical issues with the foundation’s concrete.

Some lawmakers have expressed concern that HB 5522, as drafted, will only help homeowners on a go-forward basis, and will offer no relief to homeowners already dealing with damaged foundations. Others expressed concern that the proposed bill would improperly transfer risk from concrete manufacturers to insurance companies. HB 5522 cleared the Committee by a narrow 10-9 margin.


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