Home Insurance Coverage Overview

Understanding what your homeowners insurance covers is essential to protecting your most valuable asset.

The 6 Main Coverage Types

Standard homeowners insurance (HO-3 policy) includes six main types of coverage that protect different aspects of your home and financial well-being.

Coverage A: Dwelling

Covers the structure of your home, including walls, roof, floors, built-in appliances, and attached structures like garages.

Typical coverage: Replacement cost of your home

Coverage B: Other Structures

Protects detached structures on your property like sheds, fences, detached garages, and gazebos.

Typical coverage: 10% of dwelling coverage

Coverage C: Personal Property

Covers your belongings including furniture, clothing, electronics, appliances, and other personal items.

Typical coverage: 50-70% of dwelling coverage

Coverage D: Loss of Use

Pays for additional living expenses if your home becomes uninhabitable due to a covered loss (hotel, meals, storage).

Typical coverage: 20-30% of dwelling coverage

Coverage E: Personal Liability

Protects you if someone is injured on your property or you accidentally damage someone else's property.

Typical coverage: $100,000-$500,000

Coverage F: Medical Payments

Covers medical expenses for guests injured on your property, regardless of fault.

Typical coverage: $1,000-$5,000 per person

What's Typically Covered

Fire and smoke damage
Lightning strikes
Windstorm and hail
Theft and vandalism
Water damage (burst pipes)
Weight of ice/snow
Falling objects
Explosions

What's NOT Covered

Standard homeowners insurance does NOT cover:

  • Floods: Requires separate flood insurance
  • Earthquakes: Requires earthquake insurance
  • Normal wear and tear: Maintenance is your responsibility
  • Pest damage: Termites, rodents, etc.
  • Mold: Usually excluded unless from covered peril

Average Cost

Annual Premium

$1,400-2,200/year

Varies by location, home value, and coverage limits

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What coverage level do you need?

Choose the protection that matches your requirements