Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
Other structures coverage in home insurance: what it is and how it works
Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
What is other structures coverage?
Standard homeowners insurance policies include coverage for your dwelling and personal property, but they also include other structures coverage. This covers structures that aren’t attached to your home like sheds, fences, gazebos and detached garages.
Depending on your policy, your other structures coverage typically provides coverage up to a percentage of the dwelling coverage — commonly 10 percent. For instance, if you have a home insurance policy with $300,000 in dwelling coverage, your other structures coverage limit would be $30,000. Keep in mind that other structures coverage does not cover items stored inside the structures.
You may be able to raise your other structures coverage percentage if you have high-value detached structures. Keep in mind that raising the coverage amount will increase the cost of homeowners insurance for your property.
What is considered an other structure?
Other structures in home insurance are defined as anything not attached to the home but on your property. A standard home insurance policy may be sufficient to cover your other structures, but if you have several, you might need to increase your coverage.
What other structures coverage covers
If you have an HO-3 or HO-5 home insurance policy, your other structures coverage is likely automatically included, and it is probably written on an “open perils” basis. This means that any peril not specifically excluded in the policy is covered.
Two notable common exclusions are flooding and earthquakes. Standard policies do not cover these perils, so you may want to ask your agent about purchasing a rider or separate policy. Some other exclusions may include normal wear and tear, insect damage and gradual water damage (such as wood rot caused by seepage).
Other structures may include:
- Detached garages
- Detached patios or decks
- Driveways
- Fences
- Gazebos
- Guest houses or in-law structures
- In-ground pools
- Mailboxes or light posts
- Sheds
As other structures coverage is typically set at 10 percent of the dwelling coverage limit of a standard home policy, it’s very important to ensure you have an adequate level of coverage in this area. For example, if you just built an in-ground swimming pool which is valued over $100,000, you are going to want to increase your other structures limit. Further, it’s very important that you inform your insurance agent or carrier if you make improvements to your home that would be covered under other structures.Mark Friedlander, Senior Director of Media Relations, Triple-I
One caveat: if you are using a structure on your property for business purposes, it may not be covered under your standard homeowners policy. Something as simple as a shed converted to an office may need an additional rider in certain cases. The same applies if you rent out an in-law apartment or accessory dwelling unit through a vacation rental service like Airbnb. In these instances, you may want to speak with your insurance agent about a business or rental rider to ensure that you are adequately covered.

Compare home insurance rates
Answer a few questions to see personalized rates from top carriers.
Powered by Coverage.com (NPN: 19966249)
Coverage.com, LLC is a licensed insurance producer (NPN: 19966249). Coverage.com services are only available in states where it is licensed. Coverage.com may not offer insurance coverage in all states or scenarios. All insurance products are governed by the terms in the applicable insurance policy, and all related decisions (such as approval for coverage, premiums, commissions and fees) and policy obligations are the sole responsibility of the underwriting insurer. The information on this site does not modify any insurance policy terms in any way.
How much other structures coverage do you need?
A standard homeowners policy typically includes coverage for other structures at 10 to 20 percent of the dwelling coverage on your policy. This amount is usually part of the policy whether you have detached structures on your property or not.
What if you have a structure on your property that is worth more than your coverage limits? For instance, maybe you own a large detached garage with indoor plumbing and electricity. In this case, you may want to speak with your insurance agent to discuss increasing your separate structures coverage.
Learn more: How much homeowners insurance do I need?
Other structures: ACV vs RCV
It may be worth checking with your agent to see if the other structures coverage in your policy is based on actual cash value (ACV) or replacement cost value (RCV).
If you file a claim for other structures based on actual cash value, depreciation and wear and tear can affect your claim payout amount. For example, if your 20-year-old shed needs to be rebuilt due to a fire, the insurance company may only pay for the value of the aged shed.
Replacement cost value, on the other hand, pays you what it would cost to build a new shed, regardless of the actual value of the burned building. So, if you built that shed 20 years ago for $3,000, but now it will take $15,000 to rebuild, then you would get a check for $15,000 (if that amount doesn’t exceed the coverage limit of your other structures coverage) minus your deductible. Adding a replacement cost value endorsement may not afford you the cheapest homeowners insurance, but it could provide more robust financial protection.
It is important to note that some insurers may only cover other structures at actual cash value, even if your home is covered with replacement cost coverage.