Essentially, a covered cause of loss resulting in property damage that makes the dwelling untenantable triggers Loss of Use coverage. ALE & FRV are standard coverages in homeowner's insurance policies. These coverages deal with addressing the insured's costs of temporary living accommodations while they cannot live in their home or apartment.

This module in the ALE / FRV series will explain what the coverage includes and the basics of making loss calculations under each coverage. It is very important that the insureds understand they should be neither better nor worse off as a result of the ALE or FRV claim.