An excellent and essential benefit of having a Homeowner Insurance Policy is the loss of use coverage, also known as additional living expense (ALE) coverage. Let us, the Toedt Insurance Agency LLC in Albany, NY, help you have peace of mind if the unthinkable happens.
Understanding Additional Living Expense (ALE) Coverage
ALE coverage (also available to condominium owners and in renter’s insurance policies) covers added costs associated with a policyholder’s temporary displacement from their residence in a covered peril. ALE coverage in New York can pay up to 20% of the insurance dwelling amount while your home is being repaired.
ALE typically covers expenses associated with food, hotel stays, or temporary rental spaces until your primary residence can be inhabited again.
Other benefits that can be covered under the loss of use portion of your homeowner’s insurance policy may include:
- Moving or displacement expenses
- Rental furniture
- Laundry expenses (because you don’t have access to a washer and dryer)
- Storage costs
- Boarding of pets
To know the specifics of your individual policy, contact your agent to get a detailed explanation of coverage.
Loss of use coverage doesn’t cover costs for things you were previously responsible for before the time of loss. Your home mortgage, childcare expenses, insurance costs, and other household bills you paid regularly would be excluded from ALE coverage. This coverage is for added expenses you are responsible for paying because you can’t live in your place of residence.
Have Questions? Consult With Us
Guard your home, protect your family and quality of life, and have peace of mind. Talk to a licensed agent at Toedt Insurance Agency LLC in Albany, NY for more information about homeowner insurance policies.
