HO-1: This is the most basic homeowner’s policy available. HO-1 policies only covers perils that are specifically named. Some mortgage companies do not consider these policies enough coverage for a home and require additional endorsements.
The perils covered are:
- Fire and Lightning
- Windstorm and Hail
- Vehicles(unless caused by the insured)
- Volcanic Eruption
HO-2: HO-2 policies covers the property’s structure and the contents inside it. It insures the ten perils covered in HO-1 policies and these additional six:
- Falling Objects
- Weight of Ice, Snow, or Sleet
- Accidental Discharge or Overflow of Water or Stream
- Sudden & Accidental Tearing Apart, Cracking, Burning, or Bulging
- Sudden & Accidental Damage from Artificially Generated Electrical Current
HO-3: The HO-3 is the most common homeowner’s insurance policy because it protects against all perils except those specifically excluded.
HO-4: The HO-4 policies are renter’s insurance policies. A basic renter’s insurance policy insures the content inside a property and not the actual property itself. HO-4 policies only cover specific perils that are named within them.
HO-5: In HO-5 policies, all risks are on an open perils basis. Unless it is specifically excluded on the policy, your belongings are protected.
HO-6: HO-6 policies are insurance policies for condominiums and co-ops. These policies are often called walls-in coverage because they only protect the individual unit.
HO-7: This policy provides HO-3 coverage for mobile homes.
HO-8: These policies are intended for homes whose repair costs exceed their market values. These policies are named peril policies and generally exclude a replacement cost option.