Transcript

Temporary living expenses fall under the loss of use coverage section of your homeowner's policy. In the event of a covered claim, this provides reimbursement for expenses incurred if your home becomes uninhabitable. So, for example, this could cover things such as food, hotel, dry cleaning, among other things. Loss of use coverage limit is usually twenty percent of the dwelling amount.

So if you have a three hundred thousand dollars dwelling coverage, you're going to have sixty thousand dollars for your loss of use coverage typically. It's important to note that this would cover normal living expenses that would occur on a regular basis. So staying at the Ritz and eating steak dinners every night are not going to be considered a normal living expense that would be covered. Each carrier handles these claims on a case by case basis, and you should keep these expenses minimal and reasonable during these situations.