Do you know where you would stay if you had damage to your home and couldn’t live there while repairs were being done? When your home is damaged by a covered peril and you can't stay there, you're left wondering what to do and where to go. Some people stay with friends or family while their home is being repaired, but for many that may not be an option.
That's when the question arises, "Does my homeowners insurance cover temporary housing costs or other additional living expenses?"
What Does Homeowners Insurance Additional Living Expenses Cover?
Additional living expense coverage typically covers any necessary increase in living expenses incurred so that your household can maintain its normal standard of living. This could possibly be the expense of staying in a hotel or temporary housing and food expenses over what you normally spend for food. What your homeowners insurance policy covers may vary based on typical daily cost of living and the type of coverage you have chosen.
How Do I Know If My Homeowner's Insurance Covers Additional Living Expenses?
Additional living expense coverage sounds great, right? You might be asking yourself, “Do I have additional living expenses in my homeowners policy?” Review the specific terms of your policy or contact your insurance company to see if additional living expense coverage is included in your homeowners insurance policy.
When Do I Receive Payments for Additional Living Expenses?
The amount of additional living expenses payments and the timeline for payment varies according to the policy, so you should review the specific conditions of your policy. Your insurance company will have its own procedure for payment distribution.
Tips to Make Receiving Your Additional Living Expense Payments Easier
Insurance companies will typically request receipts to show the additional living expenses you report. They will also ask for receipts from past grocery bills to figure out what you usually spent before your home was damaged. As a helpful tip, you may want to save itemized receipts for things like:
Boarding your pets
We understand the inconvenience of having to unexpectedly find other living arrangements while also handling the process of repairing damage to your home. That’s why we want to inform you of possible insurance coverages you might not be aware of and tips to help you through the process.