"Loss of Use" insurance helps cover temporary living costs after natural disasters.

"Loss of Use" insurance, or "Additional Living Expenses" coverage, helps homeowners and renters cover temporary living costs after a natural disaster renders their home uninhabitable. Typically amounting to 20% of dwelling coverage, it can pay for hotel stays, food, and storage fees. While designed for short-term relief, costs can escalate during disasters. Policyholders should review their coverage limits and consider FEMA assistance for extended needs.