HOME INSURANCE: WHAT IS AN HO-3 POLICY?

| January 7, 2019

article image
Home insurance might seem like a pretty complicated thing. And it kind of is. There are a lot of fancy terms you have to know; it’s almost like speaking a different language. You might be wondering how your insurance policy works. You know that it’s called an HO-3 policy, but what exactly is that? We’re going to answer several important questions about HO-3 policies to help you understand how that very important (and very wordy) document works. What is an HO-3 policy? An HO-3 policy is basically a type of home insurance policy – the most common one in the United States, actually. It’s a combination of open perils coverage and named perils coverage. Your house and other structures would most likely be covered on an open perils basis while your personal property (the contents of your home) would most likely be covered on a named perils basis. What does that mean? We’ll explain. Open perils coverage: Open perils coverage means that you have coverage for pretty much any sort of loss or damage EXCEPT for the listed exclusions. (Typical exclusions include flooding, earth movement, sewer backup, and so on.) The policy will list the types of losses that are not covered, and if the loss you’re facing isn’t listed as one of those exclusions, you should be good to go.

Spotlight

CIP Insurance Brokers Ltd

CIP Insurance Brokers is a second generation, local insurance brokerage with 40 years experience. We aim to provide a competitive, local service to the Northern Ireland market, offering our customers insurance cover specific to their needs and requirements from our 3 offices in Crumlin, Belfast and Ballyclare.

OTHER ARTICLES

Claims - the final frontier for insurtechs

Article | March 4, 2020

What is the insurtech difference when it comes to claims? Jonathan Swift mulls on how the Next Generation is starting to figure this out “The claims experience is really critical to our brand and making sure that customers are saying Digital Risks is who I am insured with. Whilst others struggle with that, we want to be a case that if you have a claim it is Digital Risks who you are dealing with.” This sentiment is interesting because there has perhaps been an – incorrect – assumption that insurtechs are really only focused on acquiring customers by making it as simple as possible.

Read More

Can You Get Business Insurance without a Business License?

Article | March 16, 2020

Opening a business brings many questions, and the very fact that you’re interested in learning more about insurance for your company demonstrates your responsibility as an entrepreneur. In most cases, you don’t need to have your business license yet to purchase insurance for your company, which means you can get started on this critical task right away. However, you should know there are certain types of insurance you may be required to carry in order to get or maintain your business license. There are also other types you should obtain to protect you from the consequences of lawsuits or unexpected events down the road.

Read More

6 reasons to take out landlord insurance

Article | March 9, 2020

Making the leap from homeowner to property investor comes with a unique set of challenges and opportunities. While many landlords try to minimize their outlay and maximize their return – and understandably so – insurance is the one essential expense you simply can’t afford to scrimp on. It’s so important that you are adequately covered with suitable landlord insurance, so that the following scenarios don’t cripple you financially…

Read More

What does the landlord insurance cover?

Article | February 27, 2020

Owning real estate is a great way to build long-term wealth. For those that are in the Selden, NY area and would like to build personal equity, getting an investment property could be a great option. If you do own a rental real estate asset, you need to consider your unique insurance needs. To ensure that you and your property are properly covered by insurance, you need to get a quality landlord insurance policy. A landlord insurance policy will protect you a few different ways to ensure you and your assets are protected.

Read More

Spotlight

CIP Insurance Brokers Ltd

CIP Insurance Brokers is a second generation, local insurance brokerage with 40 years experience. We aim to provide a competitive, local service to the Northern Ireland market, offering our customers insurance cover specific to their needs and requirements from our 3 offices in Crumlin, Belfast and Ballyclare.

Events