Most personal residences are insured with the traditional home insurance policy that comes with four property coverages, and also two liability protections. One of those property coverages extensions is for Other Structures (OS), sometimes referred to as Appurtenant Coverages. The design of OS coverage is to provide added coverage for those structures that are not attached to the main residence.
It could be:
- a detached garage, shed, pool, or guest house
- fencing or a pergola
- an outdoor kitchen
- a front gate or water fountain
The OS coverage would also extend to a swimming pool or retaining wall, but other than a tree falling into the pool or damaging the wall, earthquake or earth movement, the most likely event would not be covered.
Premium home insurance policies provide 20% of the coverage of the main house as additional coverage for Other Structures at full replacement cost. Basic home policies typically provide 10% of coverage, but that is insured on a “limited replacement cost”.
There may be some savings in Other Structures coverage.
If your home is insured for example for $1,000,000 to rebuild, you would automatically receive $200,000 of Other Structures coverage. This limit is listed on your policy.
Take the time to estimate the cost to replace all your structures not attached to the main house. If that number is lower than the limit for OS in your policy, you should call your agent and have the limit reduced and save on that annual premium.
The traditional home insurance policy does come with a group of coverages and paying attention to the coverage extensions that are automatically included may help you save on your annual premiums. Always a good thing.