Homeowner Insurance Basic Coverages

(Photo by Jessica Furtney)

Most homeowners policies in New Jersey include the following common coverages:

Keep in mind that your policy may provide more or less coverage depending on your needs and the type of policy your purchase.

• Dwelling (Coverage A) pays if your house is damaged or destroyed by a covered loss, including plumbing, electrical, permanently installed heating and cooling.

• Other structures (Coverage B) pays if structures not attached to your house, such as detached garages, storage sheds, and fences are damaged or destroyed by a covered loss. This amount is usually 10% of the Dwelling Amount above. You may be able to request an increased limit.

• Personal property (Coverage C) pays if the items in your house (such as furniture, clothing, and appliances) are damaged, stolen, or destroyed by a covered loss. The amount of coverage is typically 50% of the Dwelling amount.

• Loss of use (Coverage D) pays your additional living expenses (costs over the normal amount for housing, food, and other essential expenses) if you must temporarily move because damage to your house from a covered loss renders it uninhabitable.

• Personal liability (Coverage E) pays to defend you in court against certain lawsuits and provides coverage if you are found legally responsible for someone else’s injury or property damage.

• Medical payments to others (Coverage F) pays the medical bills of people hurt on your property. It might also pay for some injuries that happen away from your home, such as your dog biting someone at the park.

Other Policy Cover Features:

• Companies may exclude coverage for certain losses. Even the most comprehensive policy will exclude certain types of damage.

• All policies include an all-peril deductible. The deductible is the portion for which you are responsible on a covered property loss. -

• Some policies may include a separate mandatory hurricane deductible.

• Companies may offer optional coverages that include oil tank liability, identity fraud, water back up and sump pump overflow, ordinance or law coverage, equipment breakdown, service lines, personal injury and scheduled personal property such as jewelry, fine arts, furs or silverware.

*The content contained in this blog is for informational purposes only. It should not be considered insurance advice since every client's needs and circumstances are different. Bergen Insurance Group, LLC makes no representation as to accuracy, completeness, currentness, suitability, or validity of any information on this site and will not be liable for any errors, omissions, or delays in this information or any losses, injuries, or damages arising from its display or use. All statements represent the sole opinion of the author and is provided on an as-is basis. For an actual description of all coverages, terms and conditions, refer to your insurance policy.