While most people know that homeowner’s insurance policies in California can help pay to repair damage to your house, many people are unsure as to how their insurance policy can help with living expenses while extensive repairs are being completed. For example, if your home had massive damage and is unlivable until repaired, your Additional Living Expenses, or ALE, in your homeowner’s insurance policy would help you with your temporary living arrangement, such as a hotel.
How Does Additional Living Expenses Coverage Work in Insurance?
Your Additional Living Expenses coverage would apply if your home was damaged by commonly covered perils. This can include things like vandalism, explosions, fire and smoke, water damage, and more. It is meant to help you when you are unable to live in your home because the damage is too extensive, or the house is not safe to live in because of the damages. Even if the damage will be repaired by your insurance policy, you of course still need a place to stay until then.
What Reimbursements Can I Get from Additional Living Expenses Coverage?
This type of insurance coverage will typically cover things like temporary rental fees, hotel fees, pet boarding costs, restaurant bills, and other common living expenses. The amount of coverage and availability will vary depending on your local homeowner’s insurance provider. However, this type of coverage is commonly added to make sure that the home owner is covered in case there is an incident.
If you are unclear as to if your insurance policy has any coverage for Additional Living Expenses, or do not know the amount of coverage it offers, one of our experts can help. Our homeowner’s insurance experts can discuss your coverage in more detail and help you find what coverage plan makes sense for you and your budget.