What is other structures coverage?

Q: Can I remove other structures coverage?

No , you can’t remove other structures coverage; it’s a standard part of every policy. However, some carriers may allow you to drop or reduce it.

What is other structures coverage?

Other structures coverage is the part of your homeowners policy that pays for covered damage to structures separated from your house. It is commonly listed as Coverage B. Detached garages, sheds and fences are common examples. Coverage limits are often based on a percentage of your Coverage A dwelling limit.

Your dwelling coverage (Coverage A) is a much higher amount, based on what it would cost to rebuild your entire home from the ground up. The limit for other structures coverage is usually calculated as 10% of the dwelling amount. So, if you have $300,000 in dwelling coverage, other structures coverage would be set at $30,000.

Your home insurance deductible applies to an other structures claim.

What does other structures coverage cover?

Other structures coverage protects permanent structures on your property that aren't attached to your house. Depending on your policy, this can include a detached garage, storage shed, fence, guest house, outdoor kitchen or pool structure. Coverage applies when a covered event, such as fire or hail, damages the structure.

Covered structures can include:

Detached garages
Sheds
Gazebos
Fences
Swimming pools
Cabanas and poolhouses
Outdoor kitchens.

Outdoor fire pits may also be covered if the fire pit is permanent and not movable, and sustains damage from a storm or other covered event. You can put in a claim under the other structures section.

A swimming pool isn't automatically handled the same way under every policy. The NAIC notes that an in-ground pool can require additional coverage, so tell your insurer about your pool and confirm how it is insured.

The coverage B other structures portion of your policy pays for damage caused by any covered peril, including:

Wind and hail damage from storms
Fire and lightning
Smoke damage after a fire
Snow or ice-related damage
Falling objects like trees

For instance, if there’s a big storm and a tree falls into your pool and damages the liner, you can put in a claim against the other structures portion of your home policy.

If there’s heavy snowfall and your gazebo's roof collapses, that also falls under other structures coverage.

Vandalism is also covered. So if someone smashes the windows of your guest house or leaves graffiti on the side of your detached garage, that’s covered under other structures.

What is not covered by other structures coverage?

Other structures coverage does not pay for every type of damage or every structure on your property. Standard homeowners insurance excludes flood and earthquake damage, as well as wear and tear and maintenance. Structures used for business or rental purposes can also have limited coverage or be excluded by a homeowners policy.

. There are also several common exclusions to your other structures coverage:

Flooding is excluded from all homeowners insurance, so you must purchase a separate flood policy.
Earthquake damage is excluded unless you add an endorsement or buy a separate policy
Your home policy, including the other structures coverage, pays only for accidental and sudden damage. It does not pay for normal wear and tear or neglect on your part.
Pest infestations are excluded.
Water and sewer backups, unless you add an endorsement
If you run a business from your home and have an outdoor building housing supplies or equipment, that’s not typically covered. Your home policy generally only covers damage to business-related items up to $2,500 so you probably need additional coverage.

You can sometimes purchase riders or endorsements from your insurance carrier to cover additional scenarios.

How much other structures coverage do I need?

You need enough other structures coverage to rebuild all of the detached structures on your property. Standard policies provide other structures coverage equal to 10% of your dwelling coverage limit, but that amount might not be enough if you have an expensive detached garage, guest house, fence, or outdoor living area.

For example, if you have:

$300,000 in dwelling coverage
Coverage B equals 10% of Coverage A

This means that you have $30,000 available if something happens to all the detached structures on your property. You need to decide if this is enough. If you have a particularly expensive guest house, perimeter fence, or something else that would cost more than $30,000 to replace, then consider increasing your coverage.

“Normally, other structures are 10% of your Coverage A (dwelling) but you can up it,” Douglas says. “If a detached garage or shed is worth more, calculate how much it’s worth and add that.”

How much does other structures coverage cost?

Other structures coverage is included in the price of a standard homeowners policy and is not priced separately. Coverage B is usually equal to 10% of the dwelling coverage. If you need a higher limit because you have expensive detached structures, increasing the coverage can raise your premium.

You can review all these sections with your insurance carrier to make sure you have enough coverage, can handle any applicable deductibles and are happy with the premium. Additionally, if you make any changes to your property, like adding a new shed or fence, ensure you still have enough coverage.

FAQ: Other structures coverage

Can I remove other structures coverage?

No, you can’t remove other structures coverage; it’s a standard part of every policy. However, some carriers may allow you to drop or reduce it.

Is a detached garage covered under homeowners insurance?

Yes. A detached garage is covered under the other structures, Coverage B, of your homeowners policy.

Do I need other structures coverage?

Yes, most people do need other structures coverage to cover anything that is not attached to the home. Remember, that can include a fence or shed. If you have no such structures, you may not need the coverage, but it's automatically included in your policy.