{"id":4593,"date":"2017-10-18T09:46:46","date_gmt":"2017-10-18T15:46:46","guid":{"rendered":"http:\/\/www.noyeshallallen.com\/?p=4593"},"modified":"2024-05-29T14:24:46","modified_gmt":"2024-05-29T20:24:46","slug":"ho-5-vs-ho-3-homeowners-policies-whats-the-difference","status":"publish","type":"post","link":"https:\/\/www.noyeshallallen.com\/blog\/ho-5-vs-ho-3-homeowners-policies-whats-the-difference\/","title":{"rendered":"HO-5 vs. HO-3 Homeowners Policies. What’s The Difference?"},"content":{"rendered":"\n
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Note: This discussion applies only to Insurance Services Office (ISO) coverage forms. These are used by most insurance companies in Maine. Some insurers (Allstate, State Farm, Travelers and more) use their own proprietary forms. If you have a quote or a policy from those companies, ask an agent to explain the coverage you’re buying.<\/em><\/h5>\n\n\n\n
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All Maine homeowners policies are not created equal. In fact, if your policy is properly written, there may not be another like it. HO-5 and HO-3 are common insurance policy forms with important differences, even though they look very similar.<\/p>\n\n\n\n

HO3 vs. HO5<\/h2>\n\n\n\n

One key example is the difference between ISO HO-3 and HO-5 homeowners forms. The HO-3 was the most popular coverage form for decades. It covers a broad scope of building damages, but more limited coverage for your personal belongings.<\/p>\n\n\n\n

A quick chart:<\/p>\n\n\n

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\"HO-5<\/figure>\n<\/div>\n\n\n

 <\/h3>\n\n\n\n

<\/p>\n\n\n\n

Open Perils\u00a0– Covers any cause of loss unless excluded.

Named Perils\u00a0–<\/strong> Covers only damage from specified causes.<\/strong><\/h4>\n\n\n\n
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The HO-3 covers personal property against 16 named perils:<\/p>\n\n\n\n

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  1. Theft<\/li>\n\n\n\n
  2. Fire or Lightning<\/li>\n\n\n\n
  3. Freezing<\/li>\n\n\n\n
  4. Windstorm or Hail<\/li>\n\n\n\n
  5. Accidental Discharge or Overflow of Water from Plumbing<\/li>\n\n\n\n
  6. Vehicles<\/li>\n\n\n\n
  7. Smoke<\/li>\n\n\n\n
  8. Weight of Ice, Snow, or Sleet<\/li>\n\n\n\n
  9. Vandalism or Malicious Mischief<\/li>\n\n\n\n
  10. Sudden & Accidental Tearing Apart, Cracking, Burning, or Bulging<\/li>\n\n\n\n
  11. Sudden & Accidental Damage from Artificially Generated Electric Current<\/li>\n\n\n\n
  12. Falling Objects<\/li>\n\n\n\n
  13. Volcanic Eruption<\/li>\n\n\n\n
  14. Riot or Civil Commotion<\/li>\n\n\n\n
  15. Aircraft Damage<\/li>\n\n\n\n
  16. Explosion<\/li>\n<\/ol>\n\n\n\n
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    Why Buy HO-5 Instead of HO-3?<\/h2>\n\n\n\n

    The open perils HO-5 form shifts the burden of proof from you to the insurance company. You’re not required to prove that the damage to your personal property was caused by one of the 16 named perils. It’s covered, unless it’s specifically excluded. Believe it or not, insurance adjusters prefer the HO-5 to the HO-3, too – even though it provides a lot more coverage. It makes proving coverage much more simple and easy.<\/p>\n\n\n\n

    What does an HO-5 Cover that an HO-3 Doesn’t?<\/h2>\n\n\n\n

    Because the coverage is so broad, many additional types of damage are covered. Here are a few:<\/p>\n\n\n\n