What Is Dwelling Coverage?

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Key Takeaways

Dwelling coverage (often called Coverage A) protects the physical structure of your home from damage caused by covered events such as lightning, smoke or vandalism.
Your dwelling includes the main structure of your home and anything physically attached to it, while separate structures like sheds or detached garages fall under other structures coverage.
The amount of dwelling coverage you need should be enough to fully rebuild your home, which depends on factors like materials, labor costs and home size.

What Is Dwelling Coverage?

Dwelling coverage, also known as coverage A, is the part of your homeowners insurance policy that helps pay to replace or rebuild the physical structure of your home and it’s attached structures after a covered loss, such as fire or wind damage.

With AARP^® Home Insurance from The Hartford,¹ dwelling coverage helps protect your home’s structure, so you can avoid paying high out-of-pocket costs for major repairs. To learn more, call The Hartford today at 877-422-2345 or get a quote online.

Dwelling coverage specifically helps protect:

The physical structure of your home: Walls, roof and foundation
Attached structures: Porches, attached garages or chimney
Built-in appliances and internal systems: Wiring, plumbing and heating and air conditioning

Dwelling insurance coverage doesn’t cover damage to:

Detached buildings, like a shed
Surrounding land
Personal belongings in your home
Damage from floods or earthquakes

Insurance Illustrated — Home Dwelling

Learn more about what exactly is included under your home dwelling coverage.

What Is Covered by Dwelling Insurance Coverage?

Dwelling coverage is a key part of home insurance policies that helps cover damage from a variety of losses and can vary by state. With AARP Home Insurance from The Hartford, a standard policy helps cover damage caused by:

Fire
Lightning
Hail
Smoke
Vandalism
Theft
Vehicles
Weight of ice, snow or sleet
Freezing of pipes
Accidental discharge or overflow of water from plumbing or HVAC systems

Dwelling coverage specifically helps pay to repair or rebuild the physical structure of your home and what’s directly attached to it, such as your:

Attached garage
Chimney
Front porch
Built-in appliances

This also includes your walls, electrical wiring, plumbing, heating and air conditioning.

Condo Owners:

Your homeowners association or condo association typically maintains a “master policy” that helps cover your roof, shared spaces, hallways, common rooms, gyms and pool areas. Your personal condo insurance dwelling coverage helps protect the things you’re responsible for, such as alterations, improvements, appliances and fixtures.

What Is Not Covered by Dwelling Insurance Coverage?

A standard homeowners insurance policy does not cover damage from:

Flooding: You’ll have to buy a separate flood insurance policy to protect your home from water damage caused by floods.
Earthquakes: Damage from earthquakes requires a separate policy or endorsement.
Normal wear and tear: Gradual deterioration or maintenance issues aren’t covered.
Pest damage: Damage from vermin, rodents, termites or insects is excluded.

Other Coverages Available With AARP Home Insurance From The Hartford

Beyond dwelling coverage, AARP Home Insurance from The Hartford provides customizable home insurance coverage options to help protect you, your property, your belongings and your guests:

Other Structures Insurance Coverage

This helps cover structures on your property that aren’t attached to your house. For example, if your shed collapses from heavy snow, other structures coverage can help cover the cost of damages.

Personal Property Insurance Coverage

Personal property coverage helps protect your personal belongings such as furniture, clothing and appliances. When you insure your personal property with replacement cost coverage, covered property that is stolen or damaged will be replaced with a comparable item at today’s value, not depreciated actual cash value.

Loss of Use Coverage

This coverage helps pay your living expenses, up to policy limits, if you cannot live in your home due to a covered loss or after suffering a loss. So, if your house is damaged from a fire and needs repairs, this coverage helps to cover the costs to stay in a hotel or rental.

Personal Liability Coverage

If someone who is not a resident of your household suffers an injury or property damage for which you are legally responsible, personal liability can help cover your legal defense costs and any court judgments against you, up to your policy limits.

Medical Payments Coverage

Medical payments coverage helps pay emergency medical bills if someone who isn’t a resident of your household is injured on your property. It also covers injuries caused by a member of your family or pet, regardless of where it happens. Bills are paid, up to policy limits, whether you’re legally responsible or not.²

How Much Dwelling Coverage Do I Need?

The short answer: Your dwelling coverage should be enough to fully rebuild your home from scratch in the event of a total loss — not just repair it.

All homes insured with AARP Home Insurance from The Hartford must be covered at 100% of their rebuilding cost. This is different from the “80% rule,” which is a generic rule of thumb that only recommends coverage at 80% of a home’s value. But being underinsured can leave you responsible for out-of-pocket costs if your home suffers a major loss.

Factors that affect how much dwelling coverage you need include:

Your home's square footage, age and architectural style
The number of rooms in your home
Interior features such as cabinets or type of flooring
Current price of construction and labor

Market Value vs. Replacement Cost

It’s important to understand your home’s market value and its replacement cost.

Your home’s replacement cost is the amount to rebuild your house on the existing property with materials of similar kind and quality. This includes the price of labor and materials needed to rebuild the physical structure. It also includes the costs of cleanup and debris removal after a covered loss.

Replacement cost is different from the market value of your home, which is impacted by factors like distance from emergency services and the local housing market.

Need More Protection?

The Hartford offers extended replacement cost coverage that provides additional protection, up to 125% or 150% of the Coverage A limit in the event of a total loss.

Dwelling Coverage Deductibles and Limits

Like many other types of insurance coverages, dwelling coverage is subject to limits and deductibles. Your dwelling coverage limit should reflect the full estimated cost to rebuild your home. Keep in mind that your other structures coverage limit is usually a percentage of your dwelling coverage limit.

What Is the Difference Between Dwelling Coverage and Personal Property Coverage?

Dwelling coverage and personal property coverage are two separate parts of your homeowners insurance policy. Understanding the difference is key to ensuring you’re fully protected.

	Dwelling Coverage (Coverage A)	Personal Property Coverage (Coverage C)
What It Covers	The physical structure of your home and attached features	Your belongings, such as your furniture, clothing and electronics
Examples	Walls, roof, built-in appliances, plumbing and electrical wiring	Couch, television, laptop and clothing
Coverage Type	Structure-based	Contents-based
Typical Limit	Based on full rebuilding cost	Usually a percentage of dwelling coverage

When you protect your personal property through The Hartford with replacement cost coverage, your stolen or damaged belongings are replaced with comparable items at today’s prices – not at a depreciated value.

Is Dwelling Coverage Worth It?

Yes, for most homeowners, dwelling coverage is one of the most important parts of a homeowners insurance policy.

Your home is likely one of your largest financial investments. Without dwelling coverage, you’d be responsible for the full cost to repair or rebuild your home after a covered event, like a fire, severe storm or vandalism.

If you have a mortgage, your lender will typically require you to carry dwelling coverage as a condition of your loan. But even if your home is paid off, having dwelling coverage helps protect your finances.

For AARP members, AARP Home Insurance from The Hartford offers dwelling coverage with the added benefit of extended replacement cost options that can help keep up with increasing construction costs.

female customer happily enjoys her home due to understanding what is dwelling coverage

Get a Fast and Free Quote for Home Insurance From The Hartford

The Hartford is a trusted insurance company that’s been offering AARP members exclusive benefits and protecting their homes for over 40 years. We can help if you have questions about your insurance quote, like “How much homeowners insurance do I need?” Get the coverage you need to protect the investment you’ve made in your home with AARP Home Insurance from The Hartford. Get a quote online in minutes or call a representative at 877-422-2345.

Frequently Asked Questions About Home Dwelling Insurance Coverage How Do I Calculate Dwelling Coverage?

How Do I Calculate Dwelling Coverage?

A good way to get a rough estimate of your coverage is to multiply the square footage of your home by the average cost per square foot to build in your area. You can find this information by contacting local builders. You may also need to factor in the cost to replace things like custom cabinets, appliances or other special upgrades.

Why Is My Dwelling Coverage So High?

Dwelling coverage should cover the cost to fully rebuild your home in your area in the event of a total loss. Factors like inflation and increased building prices will raise the cost to rebuild homes, impacting the amount of dwelling coverage you may need.

What Does 'Covered Dwelling' Mean?

A dwelling is a structure where people live, such as a house. It’s a term often used by insurance companies since it refers to the building and its attached structures, as opposed to personal belongings or unattached features. A “covered dwelling” simply means that the structure is protected by insurance, or dwelling coverage more specifically.

What Is Considered Your Dwelling?

Technically speaking, a dwelling refers to the structure of your home and anything that is attached to it, like a porch. This definition does not include items that are not attached to the home’s structure.

What Is Not Covered Under a Dwelling Property Policy?

Dwelling coverage is a part of your home insurance policy that helps protect the physical structure of your home and anything attached, like a garage. This coverage does not help safeguard detached features, like a fence or shed, as well as personal belongings. Instead, other coverages on your policy will kick in to help pay to repair or replace those items.