Differences Between Homeowners Forms
Updated: May 7
Below are 9 types of homeowners insurance policies offered by insurance carriers today. Call us Monday-Friday from 8:30am-4:30pm to further discuss these forms and any questions you may have or send an email to firstname.lastname@example.org at your convenience. We look forward to hearing from you and would appreciate the opportunity to provide you with a free, non-obligatory quote!
HO-1 - Basic Form
The basic form is truly "BASIC" and provides coverage for the following perils ONLY:
Fire or lightening
There is an endorsement available that will extend coverage to the following:
Windstorm or hail
Vandalism or malicious mischief
Damage from vehicles
Damage from aircraft
Riots or civil commotion
We would not recommend insuring your home on the basic form as so much can happen other than what is protected against under this limited coverage form.
HO-2 - Broad Form
The broad form provides a little more coverage compared to the basic form. You are insured for the above perils in addition to the following perils ONLY:
Collapse due to the weight of ice, snow, or sleet (ex. roof collapse)
Bursting of steam/hot water system
Leaking of plumbing or heating system
Freezing of pipes
Sudden and accidental damage from artificially generated currents to electrical appliances, devices, fixtures or wiring.
Policies written on the basic and broad forms are called "named peril" policies because there is ONLY coverage for the perils specifically listed or "named" on the policy - any damage caused by perils other than those specifically listed are excluded from coverage.
HO-3 - Special Form
The "special form" is the most common type of homeowners policy we sell and a policy we would recommend purchasing to protect your home. This form provides coverage against the perils on the basic and broad forms and more! It is often referred to as an "all risk" policy because it provides coverage for everything other than what is specifically excluded under the policy. Some say it should be called the "named exclusion" policy since it isn't truly covering all losses but rather everything not named under the exclusions section.
For example, wear and tear will never be covered under a homeowners policy as it is the owner's responsibility to maintain and care for the property. Flood is also excluded under a homeowners form - if you are interested in protecting your home and contents from flood, we would be happy to assist you in obtaining a flood insurance policy.
On an HO-3 form, contents are covered on a named peril basis not an "all risk" basis.
HO-4 - Tenant Form
The tenant form protects tenants or renters from loss. This form provides coverage for a person's contents and personal liability - there is no coverage for the building as the tenant doesn't have ownership. The landlord is responsible for insuring the building under a separate policy. Similar to the HO-3 form, contents are protected against the named perils on the basic and broad forms - they are not protected on an "all risk" basis.
Renters insurance is very affordable and we recommend all landlords require their tenants obtain renters insurance under their lease agreement.
HO-5 - Comprehensive Form
Like the special form, the comprehensive form provides coverage for everything other than what is specifically excluded under the policy. The difference between the special and comprehensive form is, like the structure, contents are covered on an "all risk" basis on the comprehensive form.
We would also recommend insuring your home on this form as it is the most comprehensive form available from our carriers.
HO-6 - Condo & Co-Op Form
The condo form protects a condo or co-op owner's dwelling or additions and alterations, contents and personal liability.
Some insurance carriers (ex. Travelers Insurance) will write a co-op on the HO-9 Form, which is similar to the HO-6.
HO-7 - Mobile Home Form
The mobile home form is similar to the HO-3 form but provides protection for mobile and manufactured homes.