Form No. 3 Special Homeowners Insurance

What Does Form No. 3 Special Homeowners Insurance Mean?

Form No. 3 (HO-3) is a type of homeowners insurance policy that provides coverage for the home and structures, both attached and detached, against loss or damage caused by all perils, except for those specifically excluded in the contract. Additionally, HO-3 covers personal belongings inside the primary residence, but only against named perils.

Insuranceopedia Explains Form No. 3 Special Homeowners Insurance

HO-3 is typically the policy purchased for single-family homes and is considered one of the most comprehensive options available. Most homeowners shopping around end up comparing HO-3 policies from the best homeowners insurance companies, since this form is what insurers default to for single-family homes. Because HO-3 only pays up to your dwelling limit on covered losses, working out how much homeowners insurance you need usually comes down to your home’s rebuild cost rather than its market value. However, it usually excludes coverage for the following perils:

1. Neglect
2. Intentional loss
3. Vandalism or malicious mischief occurring while the home has been vacant for at least 60 days
4. War
5. Government action
6. Earthquake
7. Collapse
8. Nuclear hazard
9. Smog, corrosion, and rust
10. Water damage, except for accidental and sudden overflow
11. Power failure
12. Mechanical breakdown
13. Wear and tear
14. Smoke from industrial operations
15. Discharge and seepage of pollutants
16. Molds, fungus, or wet rot
17. Birds, rodents, and insects
18. Animals belonging to the insured
19. Theft when the dwelling is under construction