Additional Living Expense

Additional Living Expense : A type of coverage in homeowners or renters insurance that pays for the extra costs of living elsewhere while your home is being repaired due to a covered loss. This includes costs such as hotel bills, restaurant meals, and other living expenses. It helps maintain the policyholder’s standard of living while their home is uninhabitable. This coverage is particularly important in cases of natural disasters, fires, or significant damage that requires long-term repairs. If a house is damaged in a fire, the additional living expense coverage would pay for the family’s temporary accommodation in a hotel and meals.