MANAGEMENT

Detailed explanation-1: -A homeowners insurance (HO-3) policy is a coverage plan that covers your home’s structure, your personal belongings and liability in the event of damage or injury. Typically, an HO-3 policy will also cover additional living expenses and protection for other structures on your property.

Detailed explanation-2: -The most common type of homeowners insurance is the HO-3 Special Form policy, which covers your home, your personal property, liability, additional living expenses and medical payments. Personal finance and insurance expert Laura Adams says, “An HO-3 is considered the standard coverage.

Detailed explanation-3: -What types of perils does an HO3 policy cover? Usually, HO3 policies are written on an open-perils basis for your home and other structures (Coverages A & B). This means that if a peril isn’t listed as an exclusion by the policy, your insurance company can pay for damages.

Detailed explanation-4: -HO-3 policies are the most common because of their broad range of coverage. Sometimes called an extended or special homeowners insurance policy form, the HO-3 covers almost any peril except those specifically excluded (such as earthquake, flood, landslide or mudslide, nuclear accident and sinkhole).