What Is Another Name for Homeowners Insurance? (2024)

FAQs

What Is Another Name for Homeowners Insurance? ›

Hazard insurance is another name for dwelling coverage, which is one part of a homeowners policy. Standard home insurance also offers other benefits, such as coverage for your personal belongings.

In certain cases, homeowners insurance is referred to as "hazard insurance," "dwelling coverage," "HO-3 insurance," or "HO-5 insurance." These terms are used interchangeably to describe the same essential protection that safeguards a homeowner's property against various risks and liabilities.

Hazard Insurance vs. Homeowners insurance. Hazard insurance can be bundled as a part of your homeowners insurance for a more comprehensive coverage plan. Where homeowners insurance most commonly covers home, personal property, and liability damages, hazard insurance specifically covers damage to the home's structure.

Homeowners insurance (also known as home insurance) isn't a luxury; it's a necessity. That's not just because it protects your home and possessions against damage or theft. In this article, we'll walk you through the basics of homeowners insurance policies.

Standard homeowner's insurance doesn't cover damage from earthquakes or floods, but it may be possible to add this coverage. Homeowner's insurance is also sometimes referred to as "hazard insurance".

Home insurance covers expenses that occur when something unexpected or accidental happens to your home and/or your belongings. That means that you'll receive financial protection against losses due to theft, fire, wind damage and much more.

Property insurance includes homeowners insurance, renters insurance, flood insurance, and earthquake insurance.

Hazard insurance is another name for dwelling coverage, which is one part of a homeowners policy. Standard home insurance also offers other benefits, such as coverage for your personal belongings. And if you have to move out during covered repairs, your homeowners policy will help with additional living expenses.

Is mortgage insurance the same as homeowners insurance? No, private mortgage insurance (PMI) has nothing to do with home insurance and won't protect your home's structure or your personal property or offer liability coverage. Mortgage insurance is protection for your lender in case you default on your mortgage loan.

What is the most basic homeowners insurance? ›

HO–1. An HO-1 is the most basic homeowners insurance policy. It only provides coverage for the structure of your home, attached structures like garages and appliances and home features like carpeting.

A declaration page is proof of homeowners insurance, which mortgage carriers typically request on an annual basis. The information on this page can be useful to understand basic coverages and limits in your policy in the event you are considering whether or not to file a claim.

What it is: HO-3 coverage is the most common type of homeowners insurance. It is also known as special form coverage. Under HO-3 insurance, your home will typically be covered at its replacement cost, while your personal property will be covered up to its actual cash value.

HO-1 Basic Form Policy: The HO-1 policy is the most basic and limited homeowner insurance option. It provides coverage for a specific list of perils, such as fire, lightning, hail, theft, and vandalism.

Actionable tip: Although most policies provide automatic insured status for the spouse of the named insured on the policy, adding both spouses as named insureds can provide some additional benefits, such as the authority to make changes or cancel the policy.

Homeowners insurance is a type of property insurance that covers losses and damages to your home. It also protects assets in the house. The policy usually covers interior damage, exterior damage, loss or damage of personal assets, and injury that arises while on the property.

Property insurance can include homeowners insurance, renters insurance, flood insurance, and earthquake insurance. The three types of property insurance coverage include replacement cost, actual cash value, and extended replacement costs.

HO-1 (basic form)

HO-1 polices are the most basic type of home insurance, offering limited coverage, and not available in most states. Your home's structure will be protected against eleven specified perils, such as fire, lightning, windstorms and hail, but you won't have liability or personal property coverage.

What it is: HO-3 coverage is the most common type of homeowners insurance. It is also known as special form coverage. Under HO-3 insurance, your home will typically be covered at its replacement cost, while your personal property will be covered up to its actual cash value.