Standard homeowners policies provide coverage for disasters such as damage due to fire, lightning, hail, explosions and theft.
They do not cover floods, earthquakes or damage caused by lack of routine maintenance.
They may vary greatly from one policy to another. Some policies may be basic or limited like a HOA or some policies may be broader HOA Plus, HOB, HO-3 or HOC. Please see below for some differences and please contact your agent for a further explanation.
Types of Policies:
There are two types of policies: all risks and named perils. A named perils policy covers losses that are due to only those perils listed in the policy. The perils typically covered include fire, windstorm, hail, and other direct physical losses.
An all risks policy covers losses that are due to any peril except those specifically excluded in the policy. It is important to note the all risks policy provides broader protection than do named perils policies.
The types of homeowner packages offered to owners of single family owner occupied homes are HOA, HOB, HO-3 and HOC.
HOA Basic Homeowner insures your property against the following 11 basic named perils: fire/lightning, loss of property removed from premises endangered by fire or other perils, windstorm/hail, explosions, riot/civil unrest, aircraft, vehicles, smoke, vandalism/malicious mischief, theft, and breakage of glass constituting a part of the building.
HOB Broad Basic Homeowner :
Insures your property against the 11 basic named perils in HO-1 plus 7 additional named perils: falling objects, collapse of roof due to weight of ice or snow or sleet, collapse of building(s) or any part thereof, bursting of steam/hot water system , leaking of plumbing or heating system, freezing of pipes, sudden and accidental damage from artificially generated currents to electrical appliances or devices or fixtures or wiring.