Alternative accommodation cover can give you shelter when a domestic emergency forces you to leave your home.
Your home insurance, will include alternative accommodation cover. It gives you somewhere to stay when your house is uninhabitable.
An insurer considers a home uninhabitable if it has no heating in the winter, no running water or electricity, or if the structure isn’t sound.
Your insurer will send a loss adjuster out to your property to assess your claim - they'll decide whether your home is inhabitable or not.
Depending on how long you’re likely to be out of your home, you might stay in a hotel as a short-term arrangement, or a privately rented accommodation for longer-term repair work.
Alternative accommodation cover will give you somewhere to stay in a crisis, but not every policy covers the same amount. Check your terms and conditions carefully to find out the limits of your cover.
Some policies specified a definite figure while others offered up to 30% of the sum insured on your buildings insurance. That means if you had cover amounting to £200,000 with a 20% claim limit, you’d be able to claim up to £40,000 for alternative accommodation.
Or your insurer might set a time limit instead, for example paying for accommodation for up to two years.
You might even be able to get a limited amount of cover if the damaging event occurs next door and leaves you unable to get into your home.
If you don’t have a working kitchen but would still rather stay in your own property, insurers might reimburse you for the cost of takeaway food and eating out.
You could be covered for accommodation for you, your family and pets (including kennel fees), plus short-term storage for your surviving furniture.
Last checked 10 June 2019