What does Coverage C in homeowners policies insure?

Coverage C in homeowners policies is designed to insure personal property owned by the policyholder. This coverage extends to personal belongings both on and off the residence premises, providing protection against risks such as theft, loss, or damage. This includes items like furniture, clothing, electronics, and even personal items taken away from home, such as a laptop or camera when carried outside the house.

The comprehensive nature of Coverage C reflects the importance of protecting personal property in various settings, which is why it is the correct answer. It contrasts with other choices that limit coverage to specific scenarios, like only covering tenants' property or items in a designated storage facility, which do not fully represent the scope and intent of Coverage C.