Additional Living Expense Insurance
What Does Additional Living Expense Insurance Mean?
Additional living expense (ALE) insurance is an insurance policy that covers certain extra expenses the policyholder incurs in the event they are temporarily displaced from their permanent residence due to fire, flood, and other losses or calamities that render the home uninhabitable.
Insuranceopedia Explains Additional Living Expense Insurance
Additional living expenses insurance protects against the financial hardship of the extra expenses the policyholder would incur from having to temporarily move out of their home. It may cover such expenses as hotel fees, food bills, other similar expenses, and even loss of income. It is often a part of homeowner’s or renter’s insurance policies.