86.7k views
1 vote
With regards to a homeowners policy, Which coverage provides for indirect or consequential losses?Which coverage in a homeowners policy provides for indirect or consequential losses?

a) Coverage A - Dwelling
b) Coverage B - Other Structures
c) Coverage C - Personal Property
d) Coverage D - Loss of Use

1 Answer

3 votes

Final answer:

Coverage D - Loss of Use provides for indirect or consequential losses in a homeowners policy.

Step-by-step explanation:

In a homeowners policy, Coverage D - Loss of Use provides for indirect or consequential losses.

This coverage helps to reimburse the policyholder for additional living expenses incurred when their dwelling becomes uninhabitable due to a covered loss or damage.

For example, if a fire occurs and the home becomes uninhabitable, Coverage D would help cover the cost of temporary housing and related expenses until repairs are completed.

Some indirect or consequential losses could include the cost of renting a hotel room, meals at restaurants, or even transportation expenses due to the loss or damage.

User Vladimirror
by
8.5k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.