Most Georgia homeowners have never read their policy past the first page. We don't blame them — it's 40 pages of small print designed by lawyers. Here's what's actually in there.

The six coverage parts

Every standard homeowners policy (HO-3 in Georgia) has six parts. Knowing the names lets you ask intelligent questions:

  • Coverage A — Dwelling. Rebuilds your house if it burns down. The dollar amount should equal the cost to rebuild, not the market value.
  • Coverage B — Other Structures. Detached garages, sheds, fences. Usually 10% of Coverage A.
  • Coverage C — Personal Property. Your stuff. Usually 50–70% of Coverage A. Big-ticket items (jewelry, art, firearms) need separate riders.
  • Coverage D — Loss of Use. Pays your hotel and food if you can't live in the house during a covered repair.
  • Coverage E — Personal Liability. Pays if someone sues you (dog bite, slip-and-fall in your driveway). Default is usually $100K — we recommend $300K minimum, with a separate umbrella above.
  • Coverage F — Medical Payments. Pays minor medical bills for guests injured on your property regardless of fault. Usually $1–5K.

What's NOT covered (the surprises)

Standard policies exclude these, and people learn the hard way:

  • Flood. Hurricane storm surge, flash floods, river overflow — none of it. You need a separate NFIP or private flood policy.
  • Earthquake. Rare in Georgia but real, especially in north GA along the Brevard fault. Add as a rider.
  • Sewer/sump backup. Often excluded by default. A $50/year endorsement adds it.
  • Mold (mostly). Most policies cap mold remediation at $5–10K. If you have an older home, ask about expanded mold coverage.
  • Wind/hail (in coastal counties). Some Georgia coastal policies separate this out with its own deductible.

Replacement cost vs. actual cash value

This is the single most expensive line in the small print. Replacement cost pays what it costs today to replace a damaged item. Actual cash value subtracts depreciation — your 8-year-old roof might pay 40% of replacement.

For dwelling, demand replacement cost. For personal property, replacement cost adds maybe 10% to your premium and is almost always worth it.

One number to check tonight

Pull your declarations page. Look at Coverage A (dwelling). If it's less than $200/sq ft for your home's square footage, you're underinsured. We can run a free replacement-cost estimator anytime.