Losing the ability to use your home can be a devastating experience, often resulting from unexpected circumstances such as natural disasters or structural damage. Home insurance often includes coverage for loss of home use.
Our Florida homeowners insurance lawyers are here to help with your claim.
Understanding Loss of Home Use
Home insurance often includes Loss of Home Use or Additional living expenses (ALE) coverage which would help pay for additional costs in the event your home is damaged and you need to live elsewhere while it is being repaired.
One of the benefits the insurance companies may provide is coverage for the cost of temporary housing if you are displaced from your usual residence due to repairs, renovations, or reconstruction.
Loss of Home Use coverage provides financial protection against expenses beyond your normal living costs due to an unexpected event that makes it unsafe or impossible to stay in your home.
Limits
Generally, the extra living expenses limit is set at 20% of the dwelling coverage limit but can differ in some cases.
Insurance policies can differ in terms of dollars and time limits. These restrictions should not be confused with the coverage you get to restore or reconstruct your house and purchase new possessions.
Even if loss of home use coverage helps cover your hotel costs, you are still responsible for making your mortgage payments.
Rental Income Loss
This coverage will provide financial compensation for rental income lost if the area of your abode that is being leased to others is deemed uninhabitable due to a covered peril.
Things to Keep in Mind
All expenditures related to the claim should be tracked and recorded, so make sure to hold on to all your records and invoices.
Additionally, if you are due to receive any payments related to the claim before its resolution, it is important to note that these payments will be taken into consideration and factored into the final amount of your settlement.
Proof of Loss
Insurance companies usually expect the insurer to submit the required proof of loss within 60 days of the request. However, this rule has been altered and policyholders must submit it within 60 days of the date of loss even if no request was made by the carrier.
What Is Typically Covered?
The following items are generally covered under loss of home use.
Rent
In case of the owner’s home is damaged beyond repair, they will require alternate accommodation. This could be a few days or an extended period depending on the situation.
Food Costs
Home-cooked meals are substantially more economical than eating out, especially for those that are staying in motels or other lodgings which have limited or no cooking facilities. Spending money on restaurant meals can accumulate quickly and become a surprisingly large expense.
Telephone or Utility Installation Costs
Homeowners who are undertaking home renovations may be eligible for temporary financial support which can pay for telephone or utility bills while they are living elsewhere due to the loss of home use.
Extra Transportation Costs
Imagine your temporary hotel is nowhere near your office or the kids’ school. With the loss of home use coverage, you would be covered for the difference between what you typically pay for gas and what you would pay during this crisis.
Relocation and Storage Expenses
After a hazard, if some of the homeowner’s possessions remain undamaged, they need to be put in storage for safekeeping.
Furniture Rental
Homeowners who are living in temporary residences and don’t have the necessary furniture can apply for coverage to rent them.
Pet Boarding Costs
It is not allowed to bring pets in most hotels, so if you need to go away and have a pet, you must find an alternative option such as boarding them.
Clothing Expenses
In certain circumstances, existing clothing items can be damaged and may need to be replaced. This is when insurance offers coverage for the cost of new apparel.
Parking Costs
Generally, parking a car at home is without charge. However, in certain motels, it is necessary to pay for parking when your vehicle needs to stay for several days.
By consulting with a damage property lawyer, you can gain a deeper understanding of your legal rights and options in the event of loss of home use, and receive professional guidance on how to navigate the complex process of insurance claims, property damage assessments, and legal disputes.
Speak to Our Florida Property Damage Lawyers
If you experience loss of home use, consulting a property damage lawyer might work to your advantage. Here at Klotzman Property Damage Law, we advocate for fair compensation so you can properly restore and repair any damage.
Schedule your free case review today with our Florida property damage attorneys. When insurance companies fail, Klotzman Property Damage Law succeeds.
