What three types of damage does basic homeowners insurance cover?

Basic homeowners insurance typically covers three primary types of damage, which include structure, belongings, and liability.

Structural damage refers to the physical structure of the home itself, such as walls, roofs, and foundations. Homeowners insurance provides coverage against risks like fire, vandalism, and certain natural disasters, ensuring that repairs or rebuilding can be undertaken if necessary.

Belongings, or personal property coverage, protects the contents within the home, including furniture, electronics, and personal items, from similar risks. This part of the insurance allows homeowners to recover financial losses if personal possessions are damaged or destroyed.

Liability coverage is a critical aspect that protects homeowners from claims made by third parties for bodily injury or property damage that occurs on their property. This can cover legal fees, settlements, or medical expenses that arise from such incidents, providing essential financial protection.

The other choices include risks like earthquakes and flooding, which typically require separate policies or endorsements in many standard homeowners insurance packages, hence why they are not included in the basic coverage offered by homeowners insurance.