When purchasing homeowners or a condo insurance policy, you may see an option to add dwelling insurance to your coverage, but what is it? Dwelling insurance covers your home’s installed fixtures, permanent appliances, and your entire home’s structure. However, you may need extra coverage to protect your property’s detached garage or an additional structure.

Many people think that homeowners and dwelling insurance policies are synonymous with one another, but they’re not. Here are the differences between the two.

Why Would You Need Dwelling Insurance?

Dwelling insurance will help fund rebuilding or repairing damaged structures if a covered hazard causes the damage. These covered perils include:

• Theft
• Hail
• Fire
• Vandalism
• Windstorms
• Smoke
• Falling objects
• Explosions
• Damage from motor vehicles
• Damage from ice, snow, or sleet

However, dwelling insurance doesn’t cover damage from earthquakes, floods, improper maintenance, or built-up water.

How Does Home and Dwelling Insurance Differ?

While homeowners and dwelling insurance have similarities, they also have differences. Think of homeowners insurance as the package and dwelling coverage as an additional service. Homeowners insurance protects the entire home and the items inside. On the other hand, dwelling insurance covers the permanently attached appliances and things that are a part of the dwelling.

How Do You Calculate How Much Dwelling Coverage You Need?

Typically, insurers will have limits on dwelling insurance coverages but will allow you to rebuild the structure of your home. Your estimate will be based on the current worth of your home. If you need help finding the estimated value, you can reach out to our expert agents by giving us a call at (877) 945-7233 or chatting with our agents online! We offer affordable home, boat, and auto insurance in southern California and look forward to helping you find the best deal.