Dwelling Fire Products

Homeowners Insurance in Grand Prairie can be confusing. Dwelling fire products are designed for the tenant occupied property along with the secondary, vacant and some owner occupied residences. The TDP is the basic form that meets the basic form of most needs. The TDP-1 policy covers a home against perils named in the policy. The perils or causes of damage are fire, hail and lightning. Those are usually listed in the “named peril” in a Dwelling Fire Policy. If something other than those named perils cause damage to your home, the policy will not cover the loss. It’s important to understand that the Dwelling Fire is not a broad form as an HO-3 policy. The HO-3 is a broad form. The Dwelling Form 2 and3 are very similar and include the replacement cost in the event of a loss. When the TDP-1 form is selected, you are paid actual cash value on the loss. The TDP-1 is used by those who acquire rental and investment property and are not interested in personal property. It is also used for the individual or family who has very high home insurance rates. It will allow you to remove other coverage such as detached structures, contents, liability or additional living expenses. All of these will significantly reduce the expense of your insurance. You can sometimes add coverage to your TDP-1 policy like other structures, Lost Rents, liability and replacement coverage to offset the cheaper policy. An important coverage to have in this instance is Lost Rent coverage. This provides rental income from your policy in the instance the home is unlivable and your tenant are not paying rent. If you should have further questions, do not hesitate to contact an agent.

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