Dwelling Fire Policy Basics


        Dwelling Fire Coverage Options

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Despite the name, a dwelling fire policy can protect your properties from much more than just fire damage.

The coverage is very similar to a homeowners policy, with one significant difference—a dwelling fire policy is created for a landlord that does not make the property his or her primary residence. If you need to insure a rental or investment property but not the personal property inside, a dwelling fire policy is a smart decision.

To be eligible for a dwelling fire policy, the property generally needs to be one of the following:

     • Single family home

     • One- to four-person family dwelling

     • Older home worth $50,000 or less

     • Vacation, seasonal or second home


Differentiating the Dwelling Policy Types
Just like homeowners policies, there are several different types of dwelling fire coverage. DP-1 is known as the basic form, DP-2 is known as the broad form and DP-3 is known as the special form. Each provides a significantly different level of coverage.

DP – 1 (Basic Form)

DP – 2 (Broad Form)

DP – 3 (Special Form)

If you own rental or investment properties, you need to protect them from a host of potential perils, including fire, lightning, vandalism and theft. If your primary residence is located on the rental or investment property, a homeowners policy would cover you from many of the potential risks. But what if you live somewhere else? A dwelling fire policy may be the type of coverage you need to insure your rental or investment property from damages.

Just like homeowners policies, there are several different types of dwelling fire coverage. DP-1 is known as the basic form, DP-2 is known as the broad form and DP-3 is known as the special form. Each provides a significantly different level of coverage.


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