What is dwelling insurance?
Dwelling insurance is part of your overall homeowners insurance policy. It’s mainly designed to cover the physical structure of your home. Sometimes, it’s called Coverage A in a standard homeowners policy.
Dwelling insurance might also cover permanently attached structures, such as your garage, porch, or deck. If there’s damage to your home due to certain covered perils (such as fire or tornado), dwelling coverage can help you pay for repairs.
What does dwelling insurance cover?
Dwelling insurance is part of your homeowners insurance policy, and what it specifically covers depends on your policy type. For the most part, permanent fixtures in your home — including cabinets, windows, the roof, and wired-in appliances like your stove and water heater — are included in dwelling coverage.
One of the most common types of home insurance is an HO-3 policy. This well-rounded policy provides not only dwelling and personal property coverage but other structures coverage as well, for things like detached garages and sheds. Your dwelling insurance under an HO-3 policy will also provide coverage for damage caused by many perils, including fire, lightning, tornadoes, windstorms, falling objects, hail, vandalism, and theft.
A less-used type of policy, the HO-2, has more limited coverage and might not cover everything you’d see in dwelling coverage with an HO-3 policy. A special version of the HO-2 policy covers mobile homes, which aren’t always considered permanent structures. Also, if you have condo insurance, you need to pay attention to your HO-6 policy, which addresses the parts of the structure you own, rather than some of the common areas of the condo complex.
Learn More: Types of Homeowners Insurance: Which One Do You Need?
What isn’t covered by dwelling insurance?
In general, dwelling insurance doesn’t cover damage to personal belongings or the theft of personal belongings. However, most policies cover these in a different capacity, under Coverage C for personal property. You should also know that, while your foundation is usually covered, the land your home is built on isn’t.
Additionally, dwelling coverage doesn’t apply to every natural disaster, even if the event damages part of your dwelling. Earthquakes and floods usually require specific add-on protections for coverage. Other parts of the home, such as maintenance lines and sump pumps, aren’t covered by dwelling insurance. Detached structures, such as a gazebo, pool, or fence, also usually don’t receive coverage in a dwelling policy. You would need additional coverage for these.