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I pay my insurance every year on my house, so I should be covered for anything that happens, right?
No home insurance policy ever covers EVERYTHING!
- standard exclusions are nuclear incident; war, invasion; criminal acts; some things considered maintenance issues like infestations, some types of water damage, etc.
Broad
- Typically the broad form is about 10% cheaper, and it covers you for ALL RISK coverage on your DWELLING BUILDING, but only NAMED PERILS on your contents
- you are only covered for the listed perils, and you must prove that your loss falls within the definition of the covered perils
- A prime example is for smoke damage. Under standard broad form wordings, you are covered for smoke damage only if the smoke results from the sudden, unusual and faulty operation of any heating or cooking unit. It you have a fireplace and forget to switch the damper and have $3000 worth of smoke damage to your furniture, draperies, carpets and appliances, its likely not covered.
Comprehensive
- Comprehensive covers you for ALL RISK on both.
- With a comprehensive policy, the wordings indicate that you are covered for all risks of damage to your home, except for the listed exclusions.
- All damage or loss is covered unless the company can prove it is excluded.
No home insurance policy ever covers EVERYTHING, standard exclusions are nuclear incident; war, invasion; criminal acts; some things considered maintenance issues like infestations, some types of water damage, etc. There is also a difference between what type of policy you have if you have BROAD form or COMPREHENSIVE policy wordings. Typically the broad form is about 10% cheaper, and it covers you for ALL RISK coverage on your DWELLING BUILDING, but only NAMED PERILS on your contents. Comprehensive covers you for ALL RISK on both. With a comprehensive policy, the wordings indicate that you are covered for all risks of damage to your home, except for the listed exclusions. All damage or loss is covered unless the company can prove it is excluded. Under the Broad form, you are only covered for the listed perils, and you must prove that your loss falls within the definition of the covered perils. A prime example is for smoke damage. Under standard broad form wordings, you are covered for smoke damage only if the smoke results from the sudden, unusual and faulty operation of any heating or cooking unit. It you have a fireplace and forget to switch the damper and have $3000 worth of smoke damage to your furniture, draperies, carpets and appliances, it's likely not covered.
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