Allied Lines

Definition - What does Allied Lines mean?

Allied lines is a type of insurance that is commonly bought with a standard fire insurance policy. Allied lines insurance covers demolition charges, accounts receivable, data processing equipment, malicious damage, water damage, increased cost of construction, vandalism and certain other risks. When bought in tandem with a fire policy, allied lines insurance can be extremely beneficial for property owners.

Insuranceopedia explains Allied Lines

The reason allied lines insurance is commonly purchased by property owners is because there are many different types of losses that can be incurred in addition to fire losses or personal injury losses on a property. However, many homeowner's policies and fire policies do not include coverage for them. For example, vandalism is something that is not included in many homeowner's policies. So, in an area where there is a high risk of vandalism, then allied lines insurance may be a good thing to have.

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