Maximizing Your Loss of Use (ALE) Claim

Coverage D — Loss of Use or Additional Living Expenses (ALE) — is one of the most underutilized coverages in a homeowner's policy. When a covered loss makes your home uninhabitable, the insurance company pays for your additional living expenses until repairs are complete.

The key word is "additional." ALE covers the difference between your normal living expenses and what you're spending because you're displaced. If you normally spend $500 per month on groceries and you're now spending $800 because you're eating at restaurants, the carrier owes you the $300 difference.

What ALE Covers

• Hotel or temporary rental housing
• Restaurant meals (above your normal food budget)
• Laundry and dry cleaning (if you don't have access to your washer/dryer)
• Storage for your belongings
• Pet boarding if your temporary housing doesn't allow pets
• Extra mileage and gas from a longer commute
• Temporary kitchen setup or appliance rental
• Moving costs to and from temporary housing
• Utility connections at temporary housing

Common Mistakes

• Not claiming ALE at all— many homeowners stay with family or squeeze into part of a damaged home without claiming any expenses
• Minimizing expenses— you're entitled to maintain your normal standard of living, not live like a monk to save the carrier money
• Not keeping receipts— save every receipt for meals, gas, laundry, and incidentals
• Accepting the carrier's ALE timeline— ALE should last until repairs are actually complete, not until the carrier decides they should be