The HOA+ Home Insurance Policy is considered a mid-range home insurance policy. It is better than an extremely basic home insurance policy (HO1, HO8, HOA), yet it is not as comprehensive as other home insurance policies (HO3, HO5, HOB). The HOA+ policy protects the home and contents for a broad list of common perils that may occur.

The 16 perils the HOA+ Home Insurance Policy will protect your home and belongings from are:

Three of the named perils above are only covered if the damage is caused as a result of a sudden and accidental event. Those are (1) the discharge and/or overflow of Water or Stream, (2) Cracking, Bulging, Burning or Tearing Apart, and (3) Artificially Generated Electrical Current.

Other than that, if a peril from the list above damages your stuff, the HO2 insurance policy should cover it.

The HOA+ home insurance policy is normally written as a Replacement Cost policy rather than an Actual Cash Value policy. Replacement cost coverage is preferred by most homeowners, because it ensures replacement of property and belongings without depreciating the property. If you have or are considering the HOA+ policy, make sure you know whether your personal property is insured at replacement cost or actual cash value. Understanding the difference between insuring your home and contents with replacement cost vs. actual cash value could mean the difference between your insurance company covering your entire loss vs. just a portion of your loss.

Although the HOA+ home insurance policy will protect you from a broad range of perils, there are a few areas where the HOA+ policy lacks. The most common are:

1. Water Damage – the HOA+ policy does have Sudden & Accidental water damage, but it omits any water damage relating to water backup, foundation, or slow leaks. Most of these, however, can be endorsed on the policy for an additional premium.
2. Open Perils – this policy covers only the 16 perils listed above. Policies like the HO3 and the HO5 will actually cover the home for open perils, which means the HO3 or HO5 will cover anything unless explicitly omitted. Although the 16 perils cover about 90% of all claims, the broadest and best coverage can’t be found with the HOA+ home insurance policy.

Where does the HOA+ policy stand compared to other policies? It’s in the middle. Here is a quick look at other home insurance policies and how they stack up to the H0A+:

Less Coverage: HO1, HO8, HOA

Roughly Equivalent Coverage: HO2

More Coverage: HO3, HO5, HOB, HOC