What is the primary feature of HO-3 insurance?

HO-3 insurance, also known as the Special Form, is one of the most common types of homeowners insurance policies. Its primary feature is that it provides comprehensive coverage for the dwelling (structure) and other attached structures against all perils except for those specifically excluded in the policy. It is classified as a "special form" because it offers coverage on a risk basis for the dwelling, meaning it covers all risks unless they are expressly excluded.

In addition, it provides coverage for personal property (contents of the home) on a "broad form" basis, which means it covers a list of named perils, such as theft, vandalism, and some specific losses. This policy comprehensively protects homeowners not only from physical damage to their homes but also toward personal belongings, making it a solid choice for many property owners looking to safeguard their investments thoroughly.