Have you ever asked yourself or your friend if homeowners insurance cover car damage in the driveway or does homeowners insurance cover driveway damage? Well, you are at the perfect place to find the answer to such questions.
There is no denying that insurance policies are confusing and lengthy, making it hard to find answers to those all-important questions.
So, does homeowners insurance cover car damage in the driveway? No, homeowners insurance does not cover car damage in the driveway. Homeowners insurance policies include personal effects and outbuildings on your land. However, some homeowners insurance may cover the items that were stolen from your vehicle and not the car damage.
Let’s just jump right into the details.
Does Homeowners Insurance Cover Car Damage in Driveway?
Generally speaking, homeowners insurance policies include personal effects and outbuildings on your land. However, it rarely extends to your car since that should be covered by your auto insurance policy.
With that said, if your car is broken into while parked on your driveway, some homeowners insurance may cover the items that were stolen from your vehicle.
But most comprehensive car insurances cover this too if the stolen items were strictly for vehicle use.
Your car is not protected by homeowners insurance if it’s in your garage when damage occurs either.
Will Homeowners Insurance Cover Any Situations Involving Vehicles?
Yes! Your standard homeowners insurance policy will cover the costs of damages caused by an airplane, train, or automobile crashing into your house.
However, any vehicles parked on your driveway, as we mentioned, are not covered under these plans.
Are Any Other Vehicles Covered Under Standard Homeowners Insurance Policies?
Sometimes, all-terrain automobiles are covered under standard homeowners insurance plans. But it’s important to keep the following in mind:
- It only covers the vehicle for damage done while stored in your garage.
- It does not cover your vehicle for damage done while using it off your property.
- Vehicles like off-road automobiles, motorcycles, and boats are not covered. You need Auto or Boat insurance plans.
For specifics, make sure you check your insurer’s agreement and call them if you are unsure.
What About The Driveway Itself? Is That Protected Under Homeowners Insurance Policies?
Okay, we have gathered that any auto damage happening on your driveway won’t be covered. But, is your driveway itself covered under homeowners insurance policies?
Luckily, they are typically included in your standard home insurance package.
After all, they are a pretty important part of your property! However, it depends on the kind of damage it incurs as to whether you are protected from the financial loss.
You can find your driveway in your policy under “other structures” or “dwelling”, based on the type of coverage you hold.
The dwelling portion of your plan protects the physical structure of your home and other permanent entities attached to it, such as porches, decks, and garages.
If you have the latter with a connecting driveway, you should find it in the dwelling section.
If your driveway leads to a detached carport or garage, you can find it under other structures instead.
More often than not, your policy protects against driveway damage from fires, hail, hurricanes, and 9 other potential damage causes.
Are There Situations When Driveways Are Not Covered?
In short, yes. But let us look a little deeper into the specifics.
Homeowners insurance policies will not cover all forms of weather damage. Earth movements and floods are excluded from the policy. Sadly, they are usually the cause of driveway damage!
In simpler terms, if your driveway moves or collapses due to earth movements, you’re not covered. Likewise, if it is washed out by floods or erodes due to heavy rain, you’re not covered either.
Additionally, your home insurance policy will not protect you against any financial costs for general wear and tear or accidental damage caused by you or your family.
Another thing to keep in mind is whether you use your driveway for business.
If so, your insurer won’t class it as a structure of your home, but a business, which necessitates a different insurance plan.
Let Us Talk Replacement or Repair
When the damage caused by a covered peril happens to your driveway, you should receive reimbursement once you’ve made a homeowners insurance claim.
To make things easier to explain, we will use an example.
Pretend a huge tree fell onto your driveway after a stormy couple of days. You assess the damage and realize the cost to fix it is more than your deductible.
In this situation, you can file a claim and receive a reimbursement for an entirely new driveway or a partial replacement, depending on the extent of the damage.
The amount of money you get should cover not only the repair or the replacement but also waste removal and debris removal (like taking the tree away, etc.).
Our top piece of advice here is to find out whether your homeowners insurance plan covers the cost of your driveway’s replacement or the cash value of the driveway.
Actual cash value almost always pays for less than replacement costs.
Does It Cover The Garage?
Good news! Even though your car isn’t covered, any garages or outbuildings are protected (including garages that aren’t attached to your house!).
To make sure all your outbuildings, regardless of whether they are attached to your property are included, ensure you purchase “Coverage B.”
Why? Because it covers your whole property. With “Coverage A,” only structures attached directly to your house are protected.
What Exactly Does Homeowners Insurance Cover?
Right, we’ve established that your car isn’t covered but your driveway and garage are protected by standard policies.
So, let’s make sure it’s super clear by giving you a definitive list of everything it tends to cover.
In general, homeowners insurance includes six different types of protection:
- Loss of Use — Helps with living expenses (hotel bills, etc.) if your home is inhabitable after a fire, hurricane, or something similar.
- Dwelling Coverage — It protects your home’s structure from a variety of perils.
- Other Structures — As we mentioned, this can include your driveway. It also includes sheds, outbuildings, fences, and more.
- Personal Property — It protects your belongings from a variety of perils.
- Medical Payments — It pays for guests’ medical bills amounting to under $5,000.
- Liability Coverage — This refers to property damage or bodily injury to other people or their property due to your actions at your home or elsewhere.
Some of the above cover “open perils” and others cover “named perils.” If portions of your cover state “open perils,” it means your insurer pays out for anything that occurs unless it’s specifically stated.
“Named perils,” on the other hand, means your insurer only pays out for a certain list of 15 to 16 occurrences.
The named perils are often:
- Weight of ice, sleet, and snow
- Sudden, accidental water overflow
- Damage by short-circuiting
- Sudden, unintentional cracking or tearing
- Windstorm and hail
- Damage by aircraft
- Riots and civil unrest
- Damage by vehicle
- Falling objects
- Volcanic eruptions
- Fire and lightning
Typically, your structures are covered under open perils, and your belongings are protected under the named perils.
Homeowners Insurance and Car Damage: The Bottom Line
While we can’t make your specific homeowners insurance policy easier to read or understand. We have just solved your car damage conundrum!
Don’t forget; you can always check back here when you need a refresher or consult your insurance provider for further assistance about your particular insurance plan.
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