There are four basic types of home insurance: Dwelling – This type of coverage pays for damages resulting from events over which you have no control. Contents – This coverage plan reimburses you if personal items in your home are damaged or destroyed by a covered cause of loss, such as a fire. This includes clothes, furniture, sporting goods, electronics and other noted items of value in your home. Personal liability – If you or a permanent resident of your household cause bodily injury to—or damage the property of—another person in your home, this insurance will cover legal fees that might transpire from such events. It also provides no-fault medical coverage if someone is injured on your property. Also known as Umbrella insurance. Additional living expenses – This type of coverage will pay for your lodging, meals, animal boarding, and other limited expenses in the event you are unable to stay in your home due to a natural disaster or other unpredictable events. There are many other additional coverages, including umbrella insurance, that can be added to these policies.