Types of policies: all about HO-3 and HO-5.
by: Christine Zafra
HO-3 on the other hand covers the entirety of the insured house. It is the most common policy insurance companies normally offer to their customers. It covers the infrastructure itself (the house) and the contents (things) found inside it from a number of liabilities caused by you or anyone else. In layman’s terms, whatever things you or anyone else destroys within your property, as long as the cause of destruction is covered by the policy (i.e. if your garage was set to fire and “fire” is included in your policy), then you can file for a claim. HO-5 is similar to HO-3 but their difference lies on the fact that HO-5 covers a broader liability cause than the HO-3.
Photo taken from http://www.geocities.com