Dwelling insurance: A basic guide to financially protecting your home

by Dillingham Realtors 09/19/2022

house with text over top

Your home provides a safe space to live. What happens in the case of an emergency that compromises your home? Financially protecting your home can safeguard your space if perils arise. 

Dwelling insurance is the part of your homeowners insurance policy offering protection for the structure of the home. This article provides a basic guide to understanding dwelling coverage, policy scope and requirements. 

What is dwelling coverage?

If your home structure is damaged, dwelling coverage provides financial compensation. Your insurance policy would offer an estimate of the damages and provide funding for the cost of repairs. 

Your home structure includes walls, flooring, roof, foundation and windows. Sometimes dwelling insurance also covers attachments to the home, like a porch, garage, or deck.

How much dwelling coverage do you need if you own a rental property?

Rental property owners need a specific type of dwelling insurance for landlords. These policies generally include:

  • Liability coverage if the tenant is injured on the premises. 
  • Financial compensation for standard damages to property structure. 
  • Coverage for personal items being used by the tenant. 

Tenants should have renter’s insurance as well, as landlord's dwelling insurance won’t cover their personal items.

Is dwelling coverage required?

Dwelling coverage isn’t a requirement. However, most mortgage lenders do require dwelling insurance if you’re financing your home through them. Not only does it protect homeowners, it protects the lender’s investment.

About the Author
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Dillingham Realtors

At Dillingham Realtors we are here to serve you! Whether you're in the research phase of selling your property, at the beginning of your real estate search or you know exactly what you're looking for, you'll benefit from having Dillingham Realtors by your side. We are honored to put our real estate experience to work for you. We have over 33 years of experience in Residential, Commercial, Investment Properties, Foreclosures, and Short Sales. We offer professional Property Management, Brokers Price Opinions and provide comprehensive CMA's.