Have you ever read your entire home insurance policy from top to bottom, NO? Well, here are a few common coverages to understand and keep in mind….

What is the coverage and what does it cover?

Coverage A -Dwelling Coverage

  • The limit your home is insured for
  • This will cover damages by Wind/fire/hail/lighting etc.

Coverage B- Other Structures

  • Covers damaged property not attached to the home
  • Sheds, pools, fences, detached garage etc.

Coverage C- Contents

  • Covers your personal property in the home
  • Clothes, furniture, electronics etc.
  • Jewelry, fine arts, furs, guns etc.-
    • These items have lower limits — look to make sure that limit is enough.
    • If the limit is not adequate- you can schedule them separately to full value.

Coverage D- Loss of use

  • Pays for additional living expenses if your home is deemed unhabitable from a covered loss.
  • For example, you had a house fire and can’t live in the home.  The coverage will pay for you to rent a house while the home is being repaired.

Coverage E- Liability

  • Covers lawsuit expenses and damages caused by you to another party.
  • One example might be your dog biting the Amazon delivery person.

Coverage F- Medical Payments

  • Provides no-fault medical coverage to another party.
  • For example, a guest slips down the stairs at your house and breaks her ankle. This coverage will help pay for her medical bills.

Key Coverages (not standard on all home policies)

  • Sewer and water back up
    • Covers damages for water backing up into the house- (separate from water lines breaking in the house, which would be covered under Coverage A)
    • This coverage could respond if your sump pump fails, and water damages your flooring, drywall, and molding.
  • Undamaged roof and siding.
    • Covers the undamaged portions on your roof and siding for a covered loss.
    • This coverage would be valuable if hail damages one side of the house and your siding is discontinued. The coverage will extend to maintain the aesthetic value.  Keep in mind there is a limit, so you will want to make sure you have adequate protection based on your specific home.
  • Service Line Coverage
    • This covers the underground utility lines from the city to your home. Cities have recently transferred the risk to the homeowner.
    • If a tree root breaks the water line from your home to the city and the city assesses you to fix it, you’ll be glad you have this optional coverage.

The home insurance markets are changing and If you haven’t looked/reviewed your home policy within the past 5 years you might be over/under insured.  

NOTE:  This is general information.  Always consult your actual policy for specific information on your own coverage and any exclusions, limitations, or restrictions.