For some clients, a dwelling fire policy is the better alternative to a homeowner’s policy. Dwelling fire insurance covers much more than just fire. But this kind of policy isn’t for everyone, so here are the dwelling fire basics.
A dwelling fire policy may be beneficial for:
The coverage is very similar to a homeowner’s policy, with one significant difference – a dwelling fire policy is created for someone that does not make the property their primary residence. If you need to insure a rental or investment property, a dwelling fire policy is a smart decision.
The DP-3 form is the most comprehensive dwelling fire coverage available. It is an “open perils” policy, which means real property (dwelling and other structures) will be covered for all types of damage, except those exclusions named in the policy.
DP-3 form exclusions vary, but will typically be some or all of the following: