Welcome to the L Foundation! Coverage for additional living expenses pays the extra costs of temporarily living away from your home if you can’t live in it due to an insured disaster such as a Fire. It covers hotel bills, restaurant meals, transportation and other living expenses incurred while your home is inaccessible or being rebuilt.
It is important to note that it covers only those expenses that are over and above your regular living expenses, so it would not cover your mortgage, or regular trips to the grocery store. (If you rent out part of your house, talk to us about coverage to reimburses you for the rent that you would have collected from your tenant if your home had not been destroyed).
Coverage for additional living expenses differs from company to company. Many policies pro-vide coverage for about 20 per-cent of the insurance on your house. Some companies will sell you a policy that provides you with an unlimited amount of additional living expenses, for a limited amount of time.
Make sure you know exactly how much coverage you have for additional living expenses, and whether there is a time lim-it. If the standard coverage is not adequate, it can generally be increased for an additional premium.