Additional living expenses, also referred to as loss-of-use, are part of a coverage plan that may be included in your homeowners insurance in Edmonton. It covers the living expenses that occur while your home is being repaired or rebuilt. Examples of additional living expenses can include immediate necessities such as personal hygiene items, possibly clothing costs, the additional cost of eating out at restaurants, staying at a hotel or a loss in income if you are renting out part of your home to a tenant. Additional living expense insurance is designed to cover you for any extra expenses you may incur because you are temporarily displaced from your home in the event of a fire, flood, explosion, or lightning accident.
To get additional living expense coverage for your home, it is recommended to understand your homeowner coverage, keep all receipts related to expenses organized, and get a copy of written authority from insurance companies before making any large purchases.
Beyond Homeowners Insurance in Edmonton – What You Need To Know About Additional Living Expense Coverage
- Understand the limits of your existing homeowners insurance plan: Homeowners who need additional living expense coverage should analyze how long it will take them to get back to their home, and what the current limits are on the additional living expenses. More importantly, it is recommended to check the policy before disaster occurs and increase the coverage for additional living expenses if you find that it is too low.
- Make a list of all extra costs incurred: Home insurance in Edmonton will be insured for the cost of rent or hotel stays, although some other costs may also be covered. This could include restaurant meals until you, as the insurer, have access to a kitchen, storage fees, mileage for driving to work or taking children to school, pet boarding if the pet needs to stay in a kennel, laundry, and utilities.
- The coverage is only meant to be additional: This kind of plan is only meant to cover additional expenses that you would not have had if disaster did not strike. Any money saved from living in a temporary home during this time will be deducted from the reimbursement.
- Receipts should be kept: Homeowners insurance does not typically pay a lump sum; the expenses are reimbursed as they are incurred. It is important for you as the insurer to be meticulous in keeping records of every expense, and for all receipts to be carefully retained. Without receipts, your homeowner’s insurance claim for additional living expenses will not be paid.
Talk to our friendly and knowledgeable team at MBS Insurance to understand how additional living expenses are calculated and reimbursed. We can review your current policy to identify any gaps and ensure that you have the right level of coverage at the best price. We have been providing homeowners in Edmonton with affordable and convenient insurance coverage for over 45 years. Whether you need auto insurance, RV insurance or any other type of coverage, we can help.
Call 780-436-7880 or contact us online to get a quote for homeowners insurance in Edmonton.