HO-3: Special Form Policy (Most Popular)

⭐ Recommended for 90% of homeowners

Coverage Structure:

• Dwelling: Open perils (covers everything except what’s specifically excluded)
• Personal Property: Named perils only (covers only listed risks)
• Liability: Included

What Makes It Special: The HO-3 offers the best balance of comprehensive coverage and affordability. Your home structure is covered against all risks except those specifically excluded (like floods and earthquakes), while your belongings are protected against common named perils.

Common Exclusions: Flood, earthquake, war, nuclear hazards, intentional loss, neglect, power failure, mold (in some cases)

Average Cost: $1,400-$2,000 annually (varies by location and home value)

HO-5: Premier/Comprehensive Form

💎 Best coverage available

Coverage Structure:

• Dwelling: Open perils
• Personal Property: Open perils (major upgrade from HO-3)
• Liability: Included

What Makes It Special: The HO-5 provides the most comprehensive protection by covering both your home AND belongings on an open perils basis. This means far fewer exclusions for personal property claims.

Best For: High-value homes, homeowners with expensive personal property, those wanting premium protection

Average Cost: 10-20% more than HO-3 (worth it for comprehensive protection)

HO-4: Renters Insurance

🏢 Essential for renters

Coverage Structure:

• No dwelling coverage (landlord’s responsibility)
• Personal Property: Named perils
• Liability: Included
• Additional Living Expenses: Included

What It Covers: Your belongings, liability if someone is injured in your rental, and temporary living expenses if your rental becomes uninhabitable.

Average Cost: $150-$300 annually (very affordable protection)

HO-6: Condo Insurance

🏘️ Designed for condo owners

Coverage Structure:

• Unit Interior: Walls-in coverage for improvements and betterments
• Personal Property: Named perils
• Liability: Included
• Loss Assessment: Covers your share of building repairs

How It Works With HOA: The condo association’s master policy covers the building exterior and common areas. Your HO-6 policy covers everything inside your unit, your belongings, liability, and your share of any assessments.

Average Cost: $300-$600 annually

HO-2: Broad Form

Coverage: Named perils for both dwelling and personal property (16 covered perils)

Covered Perils Include: Fire, lightning, windstorm, hail, explosion, riot, aircraft, vehicles, smoke, vandalism, theft, volcanic eruption, falling objects, weight of ice/snow, water damage from plumbing, electrical surge, freezing

Best For: Budget-conscious homeowners who want more than basic coverage but don’t need open perils

HO-7: Mobile Home Insurance

Coverage: Similar to HO-3 but specifically designed for mobile or manufactured homes

Special Considerations: Must be permanently affixed to land you own. Different underwriting standards than traditional homes. May have specific wind/hail coverage limitations.

Best For: Owners of mobile homes, manufactured homes, or modular homes on permanent foundations

HO-8: Older Homes / Modified Coverage

Coverage: Modified replacement cost – pays to repair using modern materials that serve the same function

Why It Exists: For historic homes where replacement cost would be prohibitively expensive. Covers repairs with functionally equivalent modern materials instead of exact historic replacements.

Example: Historic ornate plaster ceilings would be replaced with modern drywall rather than custom plasterwork

Best For: Historic homes, homes with unique architecture, properties where full replacement cost coverage is unavailable or unaffordable