Home Insurance Policy Types

Homeowners insurance is designed to protect your home from what is called “perils.” A peril is your exposure to risk or something that causes loss or destruction. As a homeowner, you can typically purchase three different types of home insurance policies. They are:

• Homeowners 1 (HO1): With this policy, your property is covered against 11 basic perils.
• Homeowners 2 (HO2): This policy protects your property against 18 perils (including 11 perils from Homeowners 1).
• Homeowners 3 (HO3): With this policy, your property is protected against most known perils, including some that are not covered by Homeowners 2.

Please see the following table for a breakdown of what perils are covered by the three different homeowners policies.

Home Insurance Policies and What They Cover
Types of Perils	Covered Perils
	HO1	HO2	HO3
Fire or lightning	x	x	x
Loss of property on premises due to fire or other perils	x	x	x
Vehicles	x	x	x
Windstorm or hail	x	x	x
Smoke	x	x	x
Explosions	x	x	x
Theft	x	x	x
Vandalism and malicious mischief	x	x	x
Riot or civil commotion	x	x	x
Aircraft	x	x	x
Breakage of glass constituting part of the building	x	x	x
Collapse of building(s)		x	x
Weight of ice, snow or sleet		x	x
Freezing of plumbing, heating and air conditioning systems and domestic appliances		x	x
Falling Objects		x	x
Accidental discharge, leakage or overflow of water or steam from within a plumbing, heating or air conditioning system or domestic appliance		x	x
Sudden and accidental tearing apart, cracking, burning or bulging of a steam or hot water heating system or of appliances for heating water		x	x
Sudden and accidental damage from artificially generated currents to electrical appliances, devices, fixtures and wiring		x	x
All perils except for flood, earthquake, war, nuclear accident. (Check your policy for complete list of perils.)			x
Coverage for jewelry, art, antiques, etc. May also include coverage for building code upgrades and sewer backups.	Can be added to any policy for an additional charge.

http://homeowners.progressive.com/home-owners-insurance-policy-types.aspx