Will My Homeowners Insurance Cover Any Fire Damage?

Fire damage makes up a huge portion of homeowners insurance claims every year. Having a fire disaster is bad enough on its own, not to mention not having the right coverage for it. As a homeowner, you may wonder if your homeowners insurance will cover any fire damage. First, you need to understand the different types of coverage available, what they cover, and which one you should buy.

A standard homeowners insurance policy offers five different kinds of coverage, namely:

  • Home structure coverage
  • Personal property coverage
  • Medical expenses, if someone gets injured at your home
  • Liability coverage
  • Additional living expense

Types of Homeowners Insurance Policy & What They Cover

HO-1 policy

The HO-1 policy is the most basic type of homeowners policy, and it offers limited coverage. It covers your home and belongings at actual cash value against named perils, such as

  • lightning
  • fire
  • windstorm
  • hailstorm
  • explosion
  • riot or war
  • aircraft damage
  • vandalism or theft
  • falling objects

HO-2 policy

The HO-2 policy is also known as the broad form policy because of the additional perils covered by it.  It covers the home structure at replacement cost and the personal belongings at actual cash value. A few additional perils covered by it include:

  • weight of snow or ice
  • volcanic eruption
  • freezing
  • accidental damage from electric current

HO-3 policy

The HO-3 policy is also known as the special form policy. It is the most common policy among policyholders. It covers all risks for the home and property and is therefore known as open coverage. It protects against the risks specified in both HO-1 and HO-2 policies unless otherwise stated. Some commonly excluded perils are government actions and intentional damage.

Ho-4 policy

This is a content broad form or a renters insurance policy. It only covers the policyholder’s belongings, additional living expense, and liability.

HO-5 policy

The HO-5 policy is the comprehensive form. It provides coverage for both belongings and home structure at replacement cost. It also provides open risk coverage but at a very high price. It is suitable for expensive structures and belongings.

HO-8 policy

It is a modified policy for homes that do not meet the conventional requirement for insurance. It covers old houses with outdated structures that are almost falling apart. It provides coverage from named perils at actual cash value.

Thus, most homeowners insurance policies will provide coverage from fire damage, but not all fire incidences will be covered. Some policies may cover damage resulting from arson, accidental fire, explosion, and lightning. However, they may not cover fire damage due to war or intentional acts.

As a homeowner, you need the right home insurance policy with adequate coverage to ensure your home is entirely covered in case of an unfortunate event. At Abatelli Insurance, we have a wide range of homeowners policies that will surely cater to your needs. Contact us today to learn more.

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