Will the presence of the pipeline affect my homeowners insurance?

The FERC addressed this issue in its Draft Environmental Impact Statement (DEIS), issued in May 2016. It stated: “…we do not anticipate that the Project would adversely affect homeowners’ insurance rates, the ability to acquire a new homeowner’s insurance policy, or that insurance policies would be discontinued due to the presence of a natural gas pipeline on a property.”

Williams operates 15,000 miles of transmission pipeline across the country. It has been our experience that insurance underwriters have not considered the presence of a transmission pipeline when determining the cost and coverage of property insurance. In fact, insurance advisers consulted on other natural gas projects reviewed by FERC have indicated that pipeline infrastructure does not affect homeowners insurance rates.

In 2016, the Interstate Natural Gas Association of America Foundation (INGAA) published the results of a study entitled “Pipeline Impact to Property Value and Property Insurability.” The goal of the study was to determine the effects of natural gas pipelines on real estate values, insurability and the ability to obtain a mortgage. The study included data from both rural and suburban areas. Insurance companies and agents interviewed said there was no indication that the presence of a natural gas pipeline would hinder a buyer’s ability to acquire property insurance. They also said there was no indication that premiums paid for insurance policies would increase because of the proximity of a natural gas pipeline.