Loss of use
A fire or other catastrophe can force you to leave your home until the damage can be repaired. That is why it’s important to have loss of use (Coverage D) included in your home insurance policy.
If your home is damaged and deemed unfit for habitation, the loss of use insurance will allow you and your family to maintain your standard of living. It will provide reimbursement for hotel accommodations, apartment rental, restaurant bills, transportation and other living expenses while your home is being repaired. It can also cover the mortgage loan payments during the time you cannot live in your residence.
Most loss of use insurance provides coverage based on the cost of the residence. Coverage is generally 20 percent of the cost of the home. A home valued at $200,000, for instance, would typically have loss of use coverage of $40,000. There may be extra endorsements and premiums associated with loss of use insurance, which can be combined with similar coverage, such as property collapse, debris removal and reasonable repair.
We have the experience and the knowledge to answer your immediate questions and help you through the complicated claims process. One of the first things we do is to evaluate all of the damage and take a good hard look at your policy. Determining the “scope of loss” and analyzing your policy will help us best determine the best way to move forward with your claim to get you the maximum possible settlement.