HO3 insurance 101: Who qualifies as the insureds?

The HO3 insurance helps you protect you, your family, and your valuables. But who exactly qualifies as an insured? Well, under the HO3 insurance, four types of insured have provision of protection. But each with a different level of coverage. These four different kinds of insureds are:    

1) Named Insureds: They are the most covered insureds (or entities) under HO3 insurance by all its terms. Considering they are the owners of the home, they should have dwelling, personal property, and liability coverage.    

In case the dwelling is owned by a married couple, the policy must list both spouses as insureds. This way, it protects both individuals when one moves out, or they separate.    

2) Automatic Insureds: In HO3 insurance, insureds are not the owner of the dwelling. Thus, there is no dwelling coverage for them. They are still qualified for liability and personal property coverage.     

HO3 insurance qualifies resident relatives, people under the age of 21 who are in care of named insured or resident relative, and full- time students under the age of 24 who were resident before moving out.    

3) Extended Insureds: The HO3 insurance will cover any entity or individual who can be held legally responsible for any animals or watercraft whose ownership is with the insured.    

4) Additional Insureds: These insureds have an insurable interest in the insured's property. They might want to be on the list as an additional insured considering their concern.    

All mortgage companies require their borrowers to have insurance coverage for the fair or full value of the property. The companies will be an additional insured for this.    

Additionally, any student who is above 24 years of age or part-time student can also get an endorsement to be an additional insured in the insurance plan.    

With the number of insureds, HO3 insurance protects almost all the needs of homeowners. The coverage of the policy are wide ranged.