What You Need To Know About Additional Living Expenses Coverage

ALE will help to cover extra living costs while your home is being repaired.

If your house is damaged, you may find yourself checking into a hotel. Along with having to completely relocate your life, you may be wondering how you’re going to cover the bill for the extended hotel stay. Luckily, most home insurance policies will provide additional living expenses (ALE) coverage to help cover the costs. Know the answers to these common questions to ensure that you have the right amount of protection with your ALE coverage.

  • When will ALE kick in? If your house is damaged by a covered peril, such as a storm, to the point that you cannot safely live in your home, your insurance company will reimburse you for reasonable expenses that you incur while you’re out of your home. In most cases, your ALE coverage will last for as long as it takes for your house to be repaired or rebuilt.
  • How will ALE money be collected? After damage is done to your house, you should file a claim with your homeowners insurance company as soon as possible to receive the payout.
  • Are regular bills covered by ALE? Your normal expenses, such as your mortgage, electric, gas, and water bills, will not be covered by ALE.
  • What else isn’t covered by ALE? The replacement of belongings such as clothing and toiletries will most likely not be covered by ALE, nor will entertainment expenses in your temporary living conditions.
  • What lodging will ALE cover? Your ALE coverage will only only pay for lodging that is similar to your house. If you live in a two-bedroom house, it won’t cover the cost to rent a six-bedroom house. When it comes to a hotel, luxurious hotels will typically not be covered, either.

To ensure that you have the right home insurance coverage that will provide enough ALE to meet your specific needs, contact DG&M Agency in Rochester, New York.