There are about eight different types of homeowners insurance and we go through them briefly below:
HO1: Basic Form
Your basic form home insurance is very simple, it only covers what is described in your insurance
These types of policies are known as "named hazards" policies which simply means that if the hazard type is not named it is not covered.
These dangers are theft, lightning, vandalism, explosions, fire or smoke, volcanic eruptions, hail and windstorms, damage from aircraft, damage from vehicles, riots and riots
HO2: broad form
broad-spectrum policy as an upgrade to basic policy, it will cover all risks in your HO-1 policy and cover:
Falling objects, weight of ice, snow or snow, freezing of household systems such as AC or heat, unintentional discharge or overflow of water or electricity, sudden and unintentional damage from an artificial generation d electric current, sudden and unintentional tearing, cracking, burning or bulging of pipes and other household systems.
HO3: Special form
You will find HO-3 or the special form policy as the most common type of homeowner.
It is used the most because it has a wide range of coverage and some of the most affordable premiums.
It covers all the hazards mentioned in the HO-1 and HO-2 insurances and then goes even further.
The HO-3 policy is actually known as an "open risk" policy because as long as a danger is not excluded it is covered.
The special form policy usually covers your home and attached structures, your personal property and your personal liability.
Think about; however, this policy does not cover earthquakes or floods, you need a separate policy for that.
HO4: Tenant form – Rental insurance
The HO-4 policy will be the easiest to remember because it is actually tenant insurance.
This policy was created to protect tenants' personal property and their personal responsibilities and some of them will cover loss of use.
Your belongings are covered by the same dangers in a HO-2 home insurance with a broad form.
This type of insurance is specific to tenants, as it only covers belongings and personal liability – not the building structure, which should be covered by the landlord's insurance.
Belongings are usually covered against the same risks as a HO-2 home insurance with a broad form.
HO5: Comprehensive form
will be the most expensive of all home insurance policies.
But it will also have the most coverage options available.
It covers greater risks than other insurances and is also an "open risk" policy.
HO6: Condo Form
This policy will be for a unit holder and it will cover your personal property and your personal liability when you live in an apartment.
It will protect walls, floors and ceilings in
Just like tenant insurance, however, it does not cover the actual structure of the unit, nor will your homeowner cover your personal belongings.
HO7: Mobile Home Form
When it comes to RVs and recreational vehicles you will need the form policy for mobile homes.
It is basically the same as a HO-3 policy, but it is designed specifically for mobile or manufactured homes.
HO8: Older Home Forms
An HO-8 policy is created to cover older homes.
The older home form policy is basically the same as the HO-3 policy but with some adaptations for older homes.
This coverage is available on historic homes and registered landmarks.
It is usually for coverage for homes that are over 40 years old or that do not meet all structural and cosmetic update requirements.
When it comes to the amount of homeowners you need, it is always a good idea to have a replacement cost policy.
Reimbursement cost policies ensure that you have enough money to cover the exchange of an item and not just the current value.
You probably want at least 20% more coverage than your house is worth.
The best way to calculate the amount of coverage you need is to use our handy home insurance calculator or take an inventory of everything and make sure your insurance has adequate coverage for all your items.