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Additional Living Expenses

What Does Additional Living Expenses Mean?

Additional living expenses (ALE) coverage provides financial support when your home becomes temporarily uninhabitable due to unexpected events. It helps cover the costs of living expenses such as temporary accommodation, meals, and others that arise as a result of the loss of use of your home.

 

The main purpose of ALE is to help you maintain your lifestyle during this difficult period. It offers financial relief by alleviating the burden of additional accommodation expenses, allowing you to focus on rebuilding your home without worrying about the financial aspect.

 

One of the key advantages is its flexibility and convenience. It allows you to choose temporary housing options that suit your needs, whether it’s a hotel, furnished apartment, or other suitable arrangements. The coverage aims to minimize the impact of the loss by finding temporary accommodation near your original home, ensuring that you and your family can continue with work, school, and other commitments seamlessly.

How Does Additional Living Expenses Work at PSIC?

At PSIC, you can obtain additional living expense coverage, which provides financial compensation to policyholders when their home becomes uninhabitable due to a covered peril, such as fire or severe storm damage. This applies to Homeowners, Condo, Renters, and Mobile home insurance.

 

Payment will be made for the shortest time necessary to repair or replace the damage or, if you permanently relocate, the shortest time necessary for you to establish yourself elsewhere.

 

If a governmental entity restricts you from utilizing the property due to immediate harm to adjacent premises caused by a covered peril under this policy, we will provide coverage for the extra cost of living for a duration of up to two (2) weeks while the usage is prohibited. The stated time periods are not constrained by the policy’s expiration.

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