Comprehensive Policy - All Risk on Contents
All-risk contents coverage insures your belongings inside your home for the most common types of losses. When you have All Risk coverage, your contents are insured for everything, unless it's specifically excluded from your policy.
Standard Policy - Named Perils Coverage on Contents
Named-Perils coverage includes a list of the most common types of things covered under your insurance. Named-Perils includes:
A standard home policy provides for the Actual Cash Value (ACV) replacement of your belongings. This means you only receive the value of the item, less depreciation.
Many people choose to add the replacement value option to their contents coverage. Replacement value coverage means that the contents of your home are insured for the amount it costs to replace them. When you replace the item(s) with a similar kind and quality, within a specified time, the insurer will pay you what it cost you to replace the item(s) not what they were actually worth in their used state.
Liability is a legal responsibility. Liability Insurance protects you from having to pay damages to people, if you've been found responsible for unintentionally injuring them or damaging their property. Here are some examples:
- If someone injures himself/herself on the property you occupy, you may be responsible for damages. For example, if someone slips on your front steps, breaks his/her leg, and can't go to work, you could be held responsible for the person's lost wages.
- If you or a member of your family damages another person's property, you may be held liable. So if your son accidentally throws a baseball through the neighbour's window, and breaks an expensive antique, you may have to pay.
If you are forced to leave your home because of a loss, this coverage pays for your reasonable and necessary expenses to temporarily live away from home. Hotel and food costs are the type of expenses that would be covered under such circumstances. There is usually a limit on this kind of coverage.