A homeowners insurance policy usually covers the dwelling on the residence premises¹ shown in the declarations², including structures attached to the dwelling; and materials and supplies located on or next to the residence premises used to construct, alter or repair the dwelling or other structures on the residence premises.

You should consider a dwelling limit that is high enough to help you rebuild your home at today’s labor and material costs in the event of a total loss. This cost may be very different from the market value of your home, for example a home that may sell for $300,000 may actually cost $600,000 to replace.

• ¹ The dwelling in which you reside and other structures and grounds at the listed location.

• ² Declarations a summary of the information essential to your insurance coverage.

Covers other structures on the residence premises¹ set apart from the dwelling by clear space. This often includes structures connected to the dwelling by only a fence, utility line, or similar connection.

Other structures rented or held for rental to any person not a tenant of the dwelling, from which any business² is conducted, and/or used to store "business" property are often not covered.

• ¹ The dwelling in which you reside and other structures and grounds at the listed location.

• ² A trade, profession or occupation engaged in on a full-time, part-time or occasional basis or any other activity engaged in for money or other compensation.

Covers personal property owned or used by an insured¹ while it is anywhere in the world. After a loss and at your request, we will cover personal property owned by:

a. Others while the property is on the part of the residence premises² occupied by an insured; or

b. A guest or a residence employee³ while the property is in any residence occupied by an "insured".

• ¹ You and residents of your household who are your relatives or other persons under the age of 21 and in the care of any person named above.

• ² The dwelling in which you reside and other structures and grounds at the listed location.

• ³ An employee of an insured, or an employee leased to an insured by a labor leasing firm, under an agreement between an insured and the labor leasing firm, whose duties are related to the maintenance or use of the residence premises, including household or domestic services or one who performs similar duties elsewhere not related to the business of an insured.

If a covered loss makes the residence premises¹ where you reside not fit to live in, we cover any necessary increase in living expenses incurred by you so that your household can maintain its normal standard of living.

Payment is usually for the shortest time required to repair or replace the damage or, if you permanently relocate, the shortest time required for your household to settle elsewhere.

• ¹ The dwelling in which you reside and other structures and grounds at the listed location.

If a claim is made or a suit is brought against an insured¹ for damages because of bodily injury² or property damage³ caused by an occurrence⁴ to which this coverage applies, the insurance company may: 1) pay up to the limit of liability for the damages for which an insured is legally liable. Damages may include prejudgment interest awarded against an insured; and 2) may provide a defense at the insurance company’s expense by counsel of our choice, even if the suit is groundless, false or fraudulent. The insurance company may investigate and settle any claim or suit that we decide is appropriate. The insurance company’s duty to settle or defend usually ends when their limit of liability for the occurrence has been exhausted by payment of a judgment or settlement.

• ¹ You and residents of your household who are your relatives or other persons under the age of 21 and in the care of any person named above.

• ² Bodily harm, sickness or disease, including required care, loss of services and death that results.

• ³ Physical injury to, destruction of, or loss of use of tangible property.

• ⁴ An accident, including continuous or repeated exposure to substantially the same general harmful conditions, which results, during the policy period, in: a. "Bodily injury"; or b. "Property damage".

Policies usually pay the necessary medical expenses that are incurred or medically ascertained within three years from the date of an accident causing bodily injury¹. Medical expenses usually means reasonable charges for medical, surgical, x-ray, dental, ambulance, hospital, professional nursing, prosthetic devices and funeral services. This coverage does usually not apply to you or regular residents of your household. As to others, this coverage usually applies to other specified people.

• ¹ Bodily harm, sickness or disease, including required care, loss of services and death that results.