Property coverage · United States
Home & Property Insurance
US home insurance is written as standard policy forms — HO-3 for a house you live in, HO-6 for a condo unit, DP-3 for a property you rent out. A standard homeowners policy excludes flood and earthquake, and covers no business activity, so hosting short-term guests or leasing your place usually needs a different form or an endorsement.
Policy-form definitions come from the Insurance Information Institute, NAIC and state departments of insurance; flood facts from FEMA and the NFIP. Forms still vary by carrier and state — your declarations page is the authority on your own policy.
In this section
- Airbnb host insurance
- Condo insurance (HO-6)
- Landlord insurance (DP-3)
Start with your situation
Three occupancy cases a standard policy handles badly.
Airbnb host insurance
Wave 4You rent your place to short-term guests. Your homeowners policy calls that a business — see what actually covers a guest stay.
Read the guideCondo insurance (HO-6)
You own a condo and don't know where the HOA master policy ends. Find out what your HO-6 has to pick up.
Read the guideLandlord insurance (DP-3)
You lease a property to long-term tenants. A dwelling fire policy covers the structure and your rental income — not tenant belongings.
Read the guideWhat a standard policy covers — and what it excludes
Most standard homeowners policies carry four coverages: the structure, your personal belongings, liability, and additional living expenses if an insured loss makes the home unliveable.
The exclusions matter more. A standard policy will not pay for damage caused by a flood, an earthquake, or routine wear and tear, and it provides no coverage for business activities conducted in the home. Earthquake coverage is generally available as an endorsement or separate policy; flood is not part of the form at all.
Source: Insurance Information Institute
Which policy form applies to your property
HO-3 is the owner-occupied default: open perils on the structure, named perils on your contents. HO-6 is the condo unit-owner form, which starts where the association's master policy stops — sometimes at the bare walls, floor and ceiling, with your bylaws defining the split.
Rented property moves to a dwelling fire form. North Carolina's Department of Insurance calls DP-3 the most comprehensive dwelling fire coverage available, an open-perils policy on the structure, and notes that dwelling policies typically do not include the liability coverage some homeowners forms carry.
Sources: III — insuring a condo · NC Department of Insurance
Where a standard policy stops covering you
Flood is the clearest gap: FEMA states plainly that most homeowners insurance does not cover flood damage, and NFIP residential coverage runs up to $250,000 on the building and $100,000 on contents, generally taking effect 30 days after purchase.
Short-term hosting is the subtler one. NAIC warns that even where a policy carries no explicit home-sharing exclusion, insurers may still deny the claim — so hosts usually need an endorsement or a separate policy rather than an assumption.
Sources: FEMA · FloodSmart (NFIP) · NAIC — home-sharing
FAQ
Common questions
Short answers here, sourced pages in the Answers Library.
Browse the Answers LibraryWhat does a standard homeowners insurance policy cover?
Most standard policies include four coverages: the structure of your home, your personal belongings, liability protection, and additional living expenses if you cannot live there after an insured loss. The Insurance Information Institute notes that ALE covers hotel bills, restaurant meals and other costs. Perils and limits vary by form, carrier and state.
Source: Insurance Information Institute
Does homeowners insurance cover flood damage?
No. A standard homeowners policy will not pay for flood damage, and FEMA states that most homeowners insurance does not cover it. Flood is a separate policy, most commonly through the National Flood Insurance Program. NFIP residential coverage runs up to $250,000 for the building and $100,000 for contents.
Sources: FEMA · FloodSmart (NFIP)
Does homeowners insurance cover Airbnb or short-term rentals?
Usually not. The Insurance Information Institute states that standard homeowners policies do not provide any coverage for business activities conducted in the home. NAIC warns that even without an explicit home-sharing exclusion, insurance companies may deny coverage. Hosts typically need an endorsement or a separate policy.
How does HO-6 condo insurance differ from the HOA master policy?
Two policies insure a condo: the association's master policy and the unit owner's HO-6. The master policy covers shared structure and common areas. Where it stops — sometimes at bare walls, floor and ceiling — the HO-6 picks up interior elements, belongings and liability. Your association bylaws define the split.
Source: Insurance Information Institute
What is a DP-3 landlord policy?
DP-3 is the dwelling fire special form, used for rental and non-owner-occupied property. North Carolina's Department of Insurance calls it the most comprehensive dwelling fire coverage available, an open-perils policy on the structure. Note that dwelling policies typically do not provide liability coverage, unlike some homeowners forms.
Source: NC Department of Insurance
Do I need to change my policy if I rent out my home?
Likely yes. For a long-term lease, the Insurance Information Institute says you will likely need a landlord or rental dwelling policy, which generally costs about 25 percent more than a standard homeowners policy and can cover lost rental income. Your tenant's possessions are not covered by your policy.
Source: Insurance Information Institute
The gap is usually the occupancy, not the price.
Hosting, letting, or owning a unit inside someone else's master policy each change which form you need. Start where your standard policy stops.
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- No forms, no sales calls
- Sourced from NAIC & state DOIs