Living expenses

Your home has been damaged and you can not live in it. Are you entitled to reimbursement of your expenses for food and lodging?

Yes, if you find yourself in one of the following situations. 

1- Your house/apartment was damaged and is uninhabitable. 

Your insurance policy will reimburse you for additional living expenses you incur for lodging, food and travel. Reimbursement is subject to a maximum amount. Check with your insurer to find out how much it is.

2- Your apartment and belongings were not damaged, but you have to move out as the building was damaged and is uninhabitable.

Your insurance policy will reimburse you for additional living expenses you incur for lodging, food and travel. Reimbursement is subject to a maximum amount. Check with your insurer to find out how much it is.

3- Your belongings were not damaged, but the authorities are not allowing access to your house/apartment. 

In such a case, your insurance policy will reimburse you for additional living expenses you incur for lodging, food and travel for a maximum of 14 days. Reimbursement is subject to a maximum amount. Check with your insurer to find out how much it is.

Understanding living expenses 

These are additional expenses you have to pay because you can no longer live in your home.   

Examples:

  • It normally costs you $400 a week to house (1/4 of your monthly rent) and feed yourself. As a result of the loss, you are now paying $1,200 for hotel and restaurant expenses. You will therefore be entitled to a reimbursement of $800, the difference between $1,200 and $400.
     
  • Your house was completely destroyed. You’ve rented an apartment which costs $800 a month and you must continue to pay your mortgage. Your insurer would reimburse you $800, as these expenses are in addition to what you normally pay. 
     
  • Your weekly grocery bill is usually $200. As a result of the loss, you’ve had to eat out and have spent $375 to feed your family this week.  Your insurer would reimburse you $175. 

Questions and answers

Q - My apartment was not damaged, but I can’t live in it as the authorities are not allowing me to access it. Am I entitled to be reimbursed for my lodging and food expenses?

A - Yes, your insurance policy will reimburse you for these expenses for a maximum of 14 days. However, your policy includes a maximum reimbursement amount. To find out more, contact your insurer. 


Q - My house was badly damaged. I won’t be able to live in it for quite a while. Am I entitled to reimbursement of my lodging and food expenses? 

A - Yes, your home insurance policy covers these expenses.  Your policy includes a maximum reimbursement amount.  Contact your insurer to find out how much.   


Q - I’m entitled to reimbursement of living expenses, but I have no money to pay for them. Can my insurer help me? 

A - Talk to your insurer about your situation. He can probably help you. 


Q - I can’t take my companion animal to my temporary accommodation. Will my insurer reimburse me for expenses to have him boarded? 

A - Yes, reimbursement of living expenses also applies to your companion animal. 


Download the PDF version of this article.

SIGN ME UP

Would you like to receive prevention and insurance news?