What Is Other Structures Coverage?

Other Structures Coverage Rounds Out The Insurance Protection For The Separate Buildings And Structures On Your Property

When your detached garage, fence, or shed is damaged or destroyed in a covered event, the resulting financial loss can easily add up to thousands of dollars. A Home Insurance Policy typically includes Other Structures Coverage, or Coverage B, to help reduce your out-of-pocket expenses by providing a set coverage limit for repair or reconstruction costs.

Other Structures Coverage may sound like Dwelling Coverage, and in many ways, these two parts of a homeowners policy function similarly. They work hand in hand to protect the buildings and structures on your property against structural damage arising from covered events such as fire, wind, lightning, hail, theft, and vandalism. However, their primary difference lies in which types of structures they cover. While Dwelling Coverage applies to your home and its attached features, Other Structures Coverage extends to the various stand-alone buildings and structures surrounding your home.

What Other Structures Are Covered By Homeowners Insurance?

For Home Insurance purposes, an “other structure” is usually separate from your house—the two structures cannot, in general, share a wall. For example, a garage that is attached to your home and accessed via an interior doorway is likely considered a part of your dwelling, but a garage that sits away from your home with its own entrance is typically classified as an “other structure.”

Common examples of other structures covered by Home Insurance include:

 
Other Structures Coverage will not protect your belongings stored inside of the structure, such as tools, pool supplies, or patio furniture. However, your policy’s Personal Property Coverage may step in and help pay for damages to these types of items.

Before filing a claim, check with your insurance agent to confirm which types of detached structures are covered under your Home Insurance Policy. You should also disclose any plans to build a new additional structure or make improvements to an existing one to ensure your financial investments are properly protected.

How Much Other Structures Coverage Do I Need?

Typically, the amount of Other Structures Coverage in a homeowners policy is calculated based on a percentage of the Dwelling Coverage limit—generally 10%. For example, a policy with $650,000 of Dwelling Coverage likely provides $65,000 of Other Structures Coverage.

If you have an expensive or large on-premises structure, such as an in-ground swimming pool, three-stall detached garage, or pool house, you may find that the standard 10% coverage limit is not enough to fully pay for repairs. Your local independent insurance agent is the best resource for determining how much Other Structures Coverage you need. Together, you and your agent can:

• Calculate how much it will cost to completely replace or rebuild the qualifying buildings and structures around your home.
• Review how your specific homeowners policy covers other structures.
• Discuss whether Home Insurance claims will be paid on an Actual Cash Value (ACV) or Replacement Cost Value (RCV) basis, which impacts the level of reimbursement you can receive.

If you have more questions about Other Structures Coverage or are concerned you do not have the proper level of protection, please contact one of the local insurance agencies in The Andover Companies network. They can analyze which structures on your property fall under this category, determine if your policy limits are sufficient, and, if needed, make any necessary adjustments to broaden your coverage.