If a fire or other covered event forces you out of your apartment, the loss-of-use portion of your renters policy helps you keep living normally.
What loss of use pays for
Also called additional living expenses (ALE), it reimburses the extra costs of living elsewhere while your home is repaired:
- Hotel or temporary rental costs
- Restaurant meals above your normal grocery spending
- Extra commuting costs
- Pet boarding and storage fees
How it works
You pay up front and submit receipts, so keep every one. Coverage usually has a dollar limit (often a percentage of your personal-property limit) or a time limit.
What triggers it
Only when a covered peril, like fire or certain water damage, makes your unit uninhabitable. A voluntary move or an excluded event like outside flooding does not qualify.
Tip
Know your loss-of-use limit before disaster strikes, and save receipts from day one to get fully reimbursed.