Homeowners InsuranceQuestion 140 of 215

An insured family's home becomes uninhabitable after a covered fire and they must rent a similar apartment while repairs are completed. Which Section I coverage pays for this additional living expense?

a.Coverage D — Loss of Use
b.Coverage E — Personal Liability
c.Coverage C — Personal Property
d.Coverage B — Other Structures

Explanation

Coverage D, Loss of Use, pays additional living expense (ALE) above the family's normal cost of living when a covered Section I peril makes the residence uninhabitable. It covers reasonable lodging, meals, and other increases until the home is repaired or until the family permanently relocates, subject to the policy's time and dollar limits.

Law Reference: ISO Homeowners Section I, Coverage D

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