If you are thinking about getting a quote for homeowner's insurance from a different company, you should discuss all the options you have for coverage with the agent you speak to. One type the agent might talk about, that you might be unaware of, is additional living expense (ALE) coverage. ALE is not a requirement to have with your homeowner's insurance, but it sure can be a good thing to have if you ever need it.
What It Is
ALE stands for additional living expenses, and this refers to the extra expenses you would incur if you were ever forced to move out of your house after damage occurred in it. If, for example, something happened to your house and repairs were needed. If you had to move out during the repairs, your ALE coverage would help you pay for the extra expenses you would encounter during the time you had to move out from your home.
Situations Where You Would Need It
If anything caused great damage to your house that made it unlivable for a period of time, your ALE coverage would help you cover the costs for living elsewhere. For example, a fire could cause damage to a house that would leave it unlivable for a while. A major storm could damage a home too, or a home could get damaged severely by water if a plumbing pipe burst while you were not at home.
The Types of Things It Covers
If you ever experience a problem like this and have to move out, you would need to contact your homeowner's insurance agency to learn more about the ALE coverage. Most likely, they will tell you that your ALE coverage will pay for the bill you incur from staying in a hotel or having to rent a place to live for a few months, or however long it takes for the work to be done in your home.
Additionally, your ALE coverage may cover the increased costs you experience for food, and it might also cover paying for any incidentals you need, such as clothing or personal hygiene products that you must buy to survive at the time of your relocation.
Having ALE coverage on your homeowner's policy is helpful if you ever encounter a situation where you must move out of your house temporarily. If you would like more information about ALE coverage or other types of home insurance coverage, contact an agent today.Share