Your home insurance is broken into five major categories. Each category is has its own unique job and coverage amount.
The categories are:
- Other Structures
- Loss of Use
There are other optional, ancillary coverage’s that are provided by your home insurance, however, these five pillars are always present on each policy written.
Your dwelling coverage, AKA “coverage A” is the coverage that protects your actual home structure.
It also provides coverage to anything permanently attached to the structure like solar panels.
If your home was to burn to the ground, or suffer any damage, it would be this portion of your policy that would pay to replace or repair the damages.
Your other structures coverage, AKA “coverage B” is the coverage that protects any sort of unattached portion or structure.
This coverage is typically found to cover items such as a pool, a fence, a shed, or a detached garage.
If you have a separate structure that houses someone, you’ll want to discuss that with one of our agents to make sure it is covered correctly. – Get a home insurance quote here
Your contents coverage, AKA “coverage C” is the coverage that protects your personal belongings.
The amount of coverage the policy provides is a percentage of the “Dwelling” coverage.
Home insurance policies typically carry certain sub-limits for specialty items such as: jewelry, art pieces, collectibles, and firearms.
If you have a collection of any item, it’s our advice to consult with your ThriveSure Insurance agent to discuss ways to add these items to your policy. – Get a quote here.
Loss of Use
If you have to be relocated or are displaced from your home due to a claim, then your home insurance will offer coverage’s for your reasonable living expenses.
This can include: hotel lodging, clothes and food.
Your home insurance will afford coverage one of two ways. Either it will be a dollar amount, which is a percentage of the “Dwelling” coverage, or it will afford a time period. Typically 12-24 months is the standard amount of time an insurance company will extend coverage.
Your liability coverage is what will pay out if another person injures themselves on your property, and you are found negligent.
Dog bite claims are often the number one reason claims are filed. Another common instance is if someone is injured or drowns in your pool.
If there is any sort of litigation, your liability policy will pay out up to the limits on the policy.
At ThriveSure Insurance, we are strong advocates for having high liability limits. Most companies do not offer any levels above $500,000, so we always make sure all of our quotes and proposals include that amount as the liability limit.