Loss of use coverage
Loss of use coverage, also known as additional living expense coverage, helps you offset the costs of living elsewhere while your home is being repaired (in the event a covered loss happens to your home that makes it uninhabitable).
What does additional living expenses insurance cover?
Additional living expenses insurance may cover the cost of the following while your home is considered "uninhabitable":
- Lodging (rent or hotel stays)
- Restaurant meals
- Pet care and boarding
- Increase in utility costs
Most policies limit the time frame for coverage based on the type of loss you've experienced so pay attention to your specific policy language (or talk to your agent if you are unsure).
How much additional living expenses coverage do I need?
Some states require coverage for expenses incurred up to 12 or 24 months (and not a certain dollar amount). If you live in a state that does not have this requirement, think about all of your daily living expenses and ask yourself the following questions:
- Do I have a lot of items that I'd need to store?
- Do I have pets?
- Do I do a lot of laundry during the week? And, therefore, will I need to visit a laundromat often?
- Will I have to spend more money on gas if my temporary lodging is farther away from work?
Check your policy for your limits. If you think you need additional coverage, let us know.
American Family Insurance is our brand name. Auto policies are underwritten by American Family Connect Property and Casualty Insurance Company or Midvale Indemnity Company, Madison, WI. Property policies are underwritten by Homesite Indemnity Company, Homesite Insurance Company, Homesite Insurance Company of California, Homesite Insurance Company of Florida, Homesite Insurance Company of Georgia, Homesite Insurance Company of Illinois, Homesite Insurance Company of New York, or Homesite Insurance Company of the Midwest, Boston, MA. American Family Connect Insurance Agency, Inc., places policies with related and unrelated companies. Each company has sole financial responsibility for its products. Products, pricing, discounts, benefits, and availability vary by state and may be subject to change. Exclusions apply.
American Family Insurance is not an Experian service or company and American Family Insurance is solely responsible for the contents of this site. Experian Insurance Services is not responsible for any of the representations made by or products or services offered by American Family Insurance. Experian, Experian Insurance Services and its subsidiaries do not underwrite insurance, pay claims or guarantee any of the products or services offered by American Family Insurance. Experian Insurance Services, a licensed insurance agent, may receive compensation from American Family Insurance and/or its affiliates. This website does not represent all available insurance services, companies or products.
This article is for informational purposes only and based on information that is widely available. We do not make any guarantees or promise any results based on this information. We are not responsible for the content of any third-party sites that may be linked in this article. This article does not afford, offer, or guarantee any coverage.