Home insurance offers 10, 15, or all-perils coverage. Homeowners have three choices in levels of coverage from their Green Valley, AZ home insurance – HO-1, HO-2, or HO-3. Which does your Arizona home need?
At the Insurance Center of Green Valley, we recommend the full coverage that an HO-3 provides. Read on to find out why.
About Named Peril Policies
HO-1 and HO-2 policies provide named peril protection. That means if the policy specifically names an event as something it covers, then the policy pays out if it happens and you file a claim.
An HO-1 policy protects ten perils:
- Aircraft damage
- Fire, smoke, explosion
- Riots and civil commotion
- Vandalism and malicious mischief
- Vehicle-caused damage
- Volcanic eruptions
It provides no liability coverage or personal property coverage.
An HO-2 policy covers 16 perils – the 10 in an HO-1, plus the following six:
- Falling objects
- Weight of snow, sleet, and/or ice
- Flood or accidental discharge caused by HVAC or appliances
- Accidental damage to HVAC or water heaters
- Freezing of water lines of any household system
- Power surge damage.
HO-2 policies also typically include liability and personal property.
HO-3: The All-Perils Policy
An HO-3 policy covers all perils, even things that no one invented yet. Unlike named peril policies, no matter what happens to a home covered by an HO-3 policy, the policy covers it. It includes coverage for liability and personal property; some policies provide for loss of use.
Choosing All-Perils Coverage
At the Insurance Center of Green Valley, we recommend that Green Valley, AZ, homeowners choose HO-3 coverage to protect their homes best. If you have a mortgage, HO-1 coverage won’t meet the criteria for homeowner’s insurance. Why not enjoy the full protection provided by an HO-3 policy? Contact our office today to start your home policy.