What is Loss-of-Use Coverage Include in My Niles, IL Homeowner’s Insurance?

Your Niles, IL homeowners insurance is designed to protect your home and personal property against various hazards like storm damage, theft, and fire destruction. When a disaster occurs, your homeowner’s insurance policy will step up to help you recoup the costs of those items that were destroyed or stolen. But did you also know that many homeowners insurance policies, including those offered by our team at Bob Korvas Agency Inc., go a step forward to also include what is known as loss-of-use coverage?

The Basics of Loss-of-Use Coverage and What it Includes

As its name suggests, loss of use coverage is designed to cover any living expenses you incur as a direct result of being forced out of your home due to a disaster event. This type of coverage is also sometimes called additional living expenses as it allows policy holders to be reimbursed for a variety of expenses related to daily living. For example, the following are just a few of the type of expenses a loss of coverage policy will generally include:

  • Temporary residence (i.e. hotel or apartment) while the home is being repaired or cleaned following a disaster
  • Moving costs and/or storage costs for any household items
  • Restaurant and food-related expenses over what would have been normally spent before the disaster
  • New laundry expenses
  • Pet boarding
  • Excess fuel and transportation expenses 

As you might expect, loss of use coverage can offer homeowners and their families some often much-needed assurance and financial assistance following a disaster. Note that, as with many other types of insurance coverages, there are limits to these types of policies and it’s important to review your home insurance policy to better understand what is and isn’t covered and to what amount. Contact our team at Bob Korvas Agency Inc. for more information.