The most common reason for sewer backups is an obstruction in the sewer line. League Insurance Trust members liability often stems from maintenance and inspection issues. Claims related to lift station design and construction problems are also costly.
To help members reduce the overall cost and frequency of sanitary sewer claims, the Trust created the sanitary sewer incentive program. It provides members greater control over the mandatory, out-of-pocket deductibles they pay for claims and lawsuits related to sanitary sewer backups.
Members must meet certain criteria to qualify. Members that do not meet the criteria have a minimum mandatory deductible of $2,500 for each sanitary sewer backup claim. Members using a higher deductible are not directly affected, and members using an aggregate limit are only impacted if the aggregate limit is reached and the maintenance deductible is less than $2,500.
Qualifying for the sanitary sewer incentive
To qualify for the incentive, members must complete a sanitary sewer backup incentive questionnaire and return it to the Trust. If the information provided confirms the member meets the criteria outlined below, they will not be subject to the higher mandatory deductible.
—Complete the sanitary sewer backup incentive questionnaire (doc)
Members must have the following to qualify for the incentive:
A comprehensive map of the member’s sanitary sewer system.
Members that have a documented map, showing the following elements, meet this part of the incentive.
- Number and location of manholes.
- Number and location of service lines.
- Line locations with the kind and diameter of pipe used.
- Location of lift stations.
It’s completely acceptable if you have this information documented in the form of a hand-sketched drawing on a piece of paper; a map of the city with colored lines and locations written by hand; or a computer-aided design drawing that identifies every manhole, service line, and so on. The idea is to have this information documented somewhere, as opposed to knowledge in an employee’s head.
A documented program of regular inspection and maintenance.
To meet this part of the incentive, members must have a written:
- Inspection and maintenance policy.
- Adequate inspection and maintenance records for sewer lines, manholes, problem areas, and response to backups.
Members must have a documented program of regular inspection and maintenance performed on sanitary sewer lines and lift stations, and it must include written policies and procedures, inspection records, and maintenance records. To qualify, members must also have a record of sanitary sewer backups. The Trust has developed a toolkit to help members qualify for this part of the incentive.
An operator properly certified by the Minnesota Pollution Control Agency (MPCA).
This part of the incentive requires that an operator that has been properly certified by the MPCA is available at all times. Members must have one of the following:
- Written documentation of appropriate operator licenses for their employees.
- Written contracts with a service company that documents the appropriate license.
- A written contract with another nearby city documenting a required level operator license is available if needed.