What does insurance cover? What’s covered by insurance depends on what type of policy you choose. Below are some common options and examples that may apply (subject to limits). For more information about each type of coverage, check out the glossary on page 10.
COVERAGE TYPE
EXAMPLE CLAIMS
PAYS FOR…
A pipe in your kitchen bursts and water damages your walls, cabinets, countertops, appliances and hardwood floors. During a windstorm, a tree falls and damages your shed, fence, deck and pool. Lightning strikes your home and damages your TV. There was a fire in your home, so you can't stay there while it’s under repair. A delivery person slips and falls at your house and sues you for their medical bills, lost wages and damaged merchandise. Or, your child spray paints your neighbor's garage and they sue you. Your child's friend breaks her arm at your house, and their parents ask you to pay the medical bill. You lose control of your vehicle and hit your neighbor, who is standing in their driveway, along with their car and mailbox. Your car’s windshield and exterior are damaged by hail. Your car skids on an icy highway and plows into a guardrail, causing damage to your vehicle. You suffer minor injuries when another driver runs a red light and clips your car’s rear fender. The other driver is uninsured. You crash your boat into the pier when trying to dock it, causing damage and injuring people on the pier. You turn too sharply while maneuvering through a wooded campground, scraping the side of your trailer against a stout oak tree. You misjudge a turn on at a rural intersection and put the bike down. You escape with a few cuts and bruises, but your bike needs to be repaired. You're sued for $1 million after an auto acci- dent. However, your auto insurance only covers up to $500,000 in damages (which is often the highest amount of liability insurance available for standard home and auto insurance).
Repair or replacement of what's damaged and water removal, minus your deductible Repair or replacement of the damaged structures and tree removal, minus your deductible
Dwelling
Other structures
Personal property
Repair or replacement of the TV, minus your deductible
Reimbursement for meals beyond what you’d usually spend, plus rent/hotel expenses (with receipts provided for documentation) Damages and legal fees you’re required to pay as the result of a lawsuit for injury or property damage to others, up to the coverage limit
Loss of use
Personal liability
Medical payments
Medical costs associated with the injury
Your neighbor’s medical costs and the cost to repair their mailbox and vehicle
Liability
Comprehensive
Your repair/replacement costs, minus your deductible
Collision
Your repair/replacement costs, minus your deductible
Uninsured motorist
Your medical costs and vehicle repair costs
The pier damage and people’s injuries up to your policy’s limits
Boat/watercraft
RV
Your repair/replacement costs, minus your deductible
Motorcycle
Your repair/replacement costs, minus your deductible
Umbrella
The remaining $500,000 that’s your responsibility
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Actual coverage decisions may vary from examples provided above. Ask your insurance agent for information about your specific circumstances.
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