What does the Special Form (HO3) cover regarding the dwelling and other structures?

The Special Form, commonly referred to as HO3, provides open peril coverage for the dwelling and other structures on the property. This means that it covers all risks of physical loss or damage to the dwelling and other structures unless a specific exclusion applies. Consequently, if something happens to the covered structures—such as fire, theft, vandalism, or other events not expressly excluded by the policy—it will typically be covered.

This open peril approach is comprehensive as it indicates a broader range of protection compared to named peril policies, which only cover specific risks listed in the policy. The HO3 form generally offers significant peace of mind for homeowners, ensuring that they are better protected against unforeseen incidents that could affect their property.

While the policy does provide coverage for personal property (contents), it specifically delineates that this coverage operates under named perils, which is different from the open peril coverage applicable to the dwelling. Liability coverage is also an essential aspect of the overall homeowners policy, but it specifically addresses claims of bodily injury or property damage to third parties and is not related to the coverage of dwellings or structures.