What does Homeowners Insurance cover?

A typical homeowner’s insurance policy comes with 8 main coverages split over 2 sections.  The first section provides coverage for:

  • Dwelling Building – where you live
  • Detached Private Structures – such as sheds, detached garages, pool houses, etc.
  • Personal Property/Contents – including clothing, furniture, electronics, jewellery, etc.
  • Additional Living Expenses – for when you need to live elsewhere temporarily while your home is being repaired after an insured loss

The second section is where you’ll find the liability coverages that protect your household in case they’re found responsible for 3rd party injuries or property damage:

  • Personal 3rd Party Liability – for when you’re legally liable for injury or damage to 3rd parties
  • Voluntary Medical Payments – to provide a small sum to compensate people accidentally injured by an insured
  • Voluntary Payment for Property Damage – to provide a small sum to pay for accidental property damage caused by an insured
  • Voluntary Compensation for Residence Employees

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