Home Insurance Coverage:
Protecting Your Most Expensive Purchase

Key Home Insurance Coverages You Must Review

Ensure your policy is built on a solid foundation of comprehensive protection. We've outlined the core parts of your home insurance policy below:

1. Coverage A: Dwelling (Replacement Cost Coverage)

• What it covers: The physical structure of your home, including attached garages and fixtures.

• Key Consideration: You need enough coverage to Rebuild your home completely in case of a catastrophe (fire, storm, etc.). This limit must reflect current replacement cost of construction, not just the market value of the property. Do not underinsure your dwelling.

2. Coverage B: Other Structures

• What it covers: Detached structures on your property, such as sheds, fences, workshops, and detached garages.

• Key Consideration: Review the limit, typically a percentage of Coverage A, to ensure it’s adequate for any high-value outbuildings you possess.

3. Coverage C: Personal Property

• What it covers: Your belongings inside the home—including furniture, clothing, electronics, appliances, and other personal items. This coverage often extends to belongings temporarily located away from the premises.

• Key Consideration: Do an inventory! Make sure the limit accurately reflects the full cost to replace your items.

4. Coverage D: Loss Of Use / Additional Living Expenses (ALE)

• What it covers: The cost of living somewhere else if your home becomes uninhabitable due to a covered loss (e.g., hotel stays, temporary rent, restaurant meals).

• Key Consideration: This coverage ensures you maintain your standard of living without draining your savings during a difficult recovery period.

5. Coverage E: Personal Liability Coverage (CRITICAL)

• What it covers: Legal defense costs, court awards, or settlements if you are found legally responsible for causing bodily injury or property damage to others. For example, if a visitor slips on your porch or your dog bites someone.

• Key Consideration: This is the most critical part of your policy. We have observed many carriers sacrificing limits to reduce premiums, often providing as little as $100,000 in liability coverage. This is dangerously inadequate, especially if combined with an auto accident liability claim. Proper limits protect your assets, including your home.

6. Coverage F: Medical Payments to Others

• What it covers: Small, no-fault payments for minor medical expenses resulting from an accident on your property.

• Key Consideration: This is designed to swiftly handle minor injuries without requiring a liability claim, often preventing larger lawsuits.

Act Now: Don't Compromise on Liability Protection

Your Coverage E Liability limits are non-negotiable for true financial protection. If a serious personal injury occurs on your property, a minimum $100,000 limit is nowhere near enough coverage to protect your equity. Don't risk losing your home due to insufficient bodily injury liability protection.

Contact BODILY INJURY INSURANCE today to ensure your Home Insurance policy has the robust liability coverage you need.