Reading about homeowners insurance can be boring, but if you have a mortgage, your lender is going to require you to carry it. That’s why it’s essential that any homeowner have a fundamental understanding of what their policy covers. Take a look at your policy, and you’ll see that coverage is indexed alphabetically.

How to read your homeowners insurance

Coverage A

This covers damage or loss to your dwelling premises from a variety of covered risks. Make sure you have enough coverage to rebuild your home. Most coverage A policies cover other structures on your land like detached garages or sheds. If you’re coverage A doesn’t insure detached structures, you might want coverage B. That should cover the other structures.

Coverage C

This is insurance for your personal property inside of your dwelling premises. You want this in case your home is destroyed by fire, explosion or even a tornado. You’ll probably need special coverage for risks like earthquakes or hurricanes. If you have particularly valuable personal property in your home like artwork, jewelry or musical instruments, you’ll probably want special coverage for that, too.

Coverage D

This helps you pay reasonable additional living expenses for temporary housing when your home has been rendered uninhabitable by a covered risk. What’s reasonable will be gauged by the value of your home before it was damaged along with your previous living expenses.

Coverage E

If somebody is injured on your property through your negligence, this coverage will protect you on liability claims up to the limit of your coverage. It also covers your court costs and attorney fees. Coverage E might even insurer you for certain off-premises accidents.

Coverage F

This involves medical payments coverage that pays medical bills up to the extent of your coverage when somebody is on your property and gets injured. This is independent of liability coverage, and might be paid by your insurer whether you’re liable for the accident or not.

In the event of a claim

If a claim arises under your homeowners insurance, you must notify your insurer right away so that it has ample time to investigate. You may click here to submit a claim.


There are some exclusions like flooding, hurricanes or earthquakes. If you want coverage for exclusions, you’ll have to get special coverage. Check out our Titanium Package to learn more about optional endorsements. Knowledge is power. Read your policy. Learn not only what’s covered, but what’s not covered too. You may want to get extra protection. Learn more about homeowners insurance policies by clicking here.