Fire Damage
Definition:
Loss caused by flames, smoke, or heat from an accidental or sudden fire.
Explanation:
Fire damage is one of the most common covered perils in homeowners insurance. Coverage typically includes structure repairs, contents replacement, and sometimes smoke cleanup.
Example:
If a cooking accident ignites a kitchen fire, your insurer will pay to repair the structure and replace destroyed appliances.
Why it matters:
This term affects how claims are handled and what payout a homeowner may receive.