Home Insurance glossary
Plain-language definitions of common home insurance terms.
- Actual cash value
- Pays replacement cost minus depreciation for age and wear.
- Dwelling coverage
- Pays to repair or rebuild the structure of your home after a covered loss.
- Endorsement
- An add-on that changes or extends your standard policy coverage.
- Flood insurance
- Separate coverage for flood damage, not included in standard home policies.
- Loss of use
- Covers extra living expenses if your home is uninhabitable after a covered loss.
- Peril
- A specific cause of loss, such as fire, theft, or windstorm.
- Personal property
- Coverage for your belongings, such as furniture and electronics.
- Replacement cost
- Pays to replace damaged property at today's cost, without deducting for age.