Does Homeowners Insurance Cover Structural Fires?
Homeowners insurance usually does cover structural fires, but the coverage limit can be too low in some cases. If a house’s value or rebuilding costs exceed the fire coverage limit of a homeowners policy, a supplemental dwelling fire policy might be appropriate.
This doesn’t happen too often, but it may be an issue with especially expensive homes, highly customized homes and historic houses.
Do Business Owners Policies and Commercial Package Policies Cover Structural Fires?
Business owners policies and commercial package policies are two types of commercial insurance policies that provide multiple coverages. Coverage for structural fires is usually included in both of these policy types, but a couple of situations might still call for dwelling fire coverage.
First, some of these commercial policies already have dwelling fire coverage as one of their included protections. The coverage may be included when other risks are addressed by other coverages, but those coverages don’t include structural fires. Including a specific dwelling fire coverage can be the best way to include protection against structural fires in these policies.
Second, sometimes these commercial policies offer protection against structural fires through a broader coverage. The broader coverage may not provide as much protection as is desired, however. When this is the case, a separate dwelling fire policy may be purchased to supplement the protection that’s already afforded.