Final answer:
When a homeowner lapses their insurance, they are no longer covered by their insurance company for any damages or losses that may occur. It is important for homeowners to maintain their insurance coverage to protect their property and finances.
Step-by-step explanation:
If a homeowner lapses their insurance, it means they have allowed their insurance policy to expire without renewing it. When this happens, they are no longer covered by their insurance company for any damages or losses that may occur. For example, if their home gets damaged due to a natural disaster, they would be responsible for covering the costs of repairs or replacements themselves. It is important for homeowners to maintain their insurance coverage to protect their property and finances.