A homeowners insurance policy usually protects more than the main house. Many properties also include structures that sit away from the home itself.
These items may seem smaller than the house, but they can still be expensive after a covered loss. That is where other structures coverage becomes important.
Other structures coverage is the part of a homeowners policy that may help protect structures on the insured property that are not physically attached to the main dwelling. In many policies, it is listed as Coverage B.
Understanding this coverage matters because homeowners sometimes assume everything on the property is covered the same way as the house. That is not always correct. The policy may have a separate limit, different rules, and important exclusions.
Quick Answer
Other structures coverage may help pay to repair or replace detached structures on your property after a covered loss. This can include detached garages, sheds, fences, gazebos, pool houses, and similar structures, depending on the policy. It usually does not cover wear and tear, poor maintenance, flood damage, earth movement, or business-use structures unless the policy specifically allows it.
What Counts as an “Other Structure”?
An other structure is usually a structure on the insured property that is separated from the main home by clear space.
Common examples may include:
detached garages
storage sheds
fences
gazebos
pergolas
detached workshops
pool houses
small outbuildings
The key word is usually detached.
If a garage is connected to the house, it may be treated as part of the dwelling. If it is separate from the house, it may fall under other structures coverage. A fence, walkway, or utility line connecting the structure to the home does not always make it part of the dwelling.
Why Other Structures Coverage Matters
Other structures can be damaged by many of the same problems that affect a home. A storm may damage a fence. A fire may spread to a detached garage. A tree may fall on a shed.
If the loss is covered by the policy, other structures coverage may help with repair or replacement costs, up to the policy limit.
Without enough coverage, the homeowner may have to pay more out of pocket. This can matter when the property has a large detached garage, long fence line, custom shed, workshop, pool house, or expensive outdoor structure.
How Much Other Structures Coverage Do You Have?
Many homeowners policies include other structures coverage as a percentage of the dwelling coverage limit. A common amount is 10% of the dwelling limit, but the actual amount depends on the policy and carrier.
For example, if the home is insured for $400,000 and the policy includes 10% for other structures, the Coverage B limit may be $40,000.
Some policies may allow the limit to be increased. Some may limit or exclude property based on use, condition, location, or type of structure.
The other structures limit should match what is actually on the property.
A small shed and short fence may not need the same limit as a property with a detached three-car garage, workshop, long privacy fence, and pool house.
Detached Garages, Sheds, and Fences
A detached garage can be one of the most valuable other structures on a property. It may include roofing, siding, electrical work, garage doors, windows, storage space, and sometimes finished areas.
If a detached garage is damaged by a covered fire, wind event, hailstorm, falling tree, or vandalism, the other structures portion of the policy may respond.
But use matters. A garage used for personal storage or parking may fit more easily within standard homeowners coverage. A garage used for business, rental activity, commercial storage, auto repair work, or a separate living space may be treated differently.
Sheds can also create coverage questions. The shed itself may fall under other structures coverage. The items inside the shed may fall under personal property coverage, depending on the policy and the cause of loss.
That distinction matters. If a covered storm damages a shed and the equipment inside it, the policy may treat the shed and the contents as two different parts of the claim.
Fences are common, but they can also create claim confusion. A homeowners policy may cover fence damage caused by certain covered events, such as fire, vandalism, or a falling tree. Wind or storm damage may be handled differently depending on the policy, location, and carrier.
Fence claims can also be affected by depreciation, material type, age, and condition. Insurance is usually meant for sudden covered damage. It is not designed to replace a fence simply because it is old or wearing out.
What Other Structures Coverage Usually Does Not Cover
Other structures coverage does not cover every problem.
Most homeowners policies do not cover damage caused by normal wear and tear, neglect, poor maintenance, insects, rodents, long-term moisture, or gradual deterioration.
Many policies also exclude flood damage and earth movement unless separate coverage is purchased. This can matter for fences, detached garages, retaining walls, and other outdoor structures exposed to drainage problems, soil movement, or heavy rain.
Other possible issues include:
structures used for business purposes
structures rented to others
structures in poor condition
structures built without proper permits
damage from long-term leaks
damage below the deductible
The exact answer depends on the policy language and the cause of loss.
Business Use Can Change the Answer
A detached structure used for personal storage is not the same as a detached structure used for business.
A shed used for lawn chairs and gardening tools may be viewed differently from a detached workshop used for paid repair work, inventory, customer equipment, or business supplies. A detached garage used to park family vehicles may be viewed differently from one used for auto repair customers.
Homeowners policies often have restrictions for business property and business activity. If a structure is used for business, it should be discussed with the insurance agent before relying on standard homeowners coverage.
Replacement Cost vs. Actual Cash Value
Another detail to review is how the policy values damaged other structures.
Some policies may provide replacement cost coverage if policy requirements are met. Replacement cost generally means the cost to repair or replace with similar materials, without subtracting for depreciation.
Other policies, or certain claims, may be handled on an actual cash value basis. Actual cash value usually considers depreciation based on age, condition, and useful life.
A 20-year-old fence, an older shed, or a detached garage with an aging roof may not be paid the same way under every policy. Homeowners should ask how their other structures would be valued after a covered loss.
When You May Need More Coverage
The automatic amount included in a homeowners policy may not be enough for every property.
You may want to review the limit if you have:
a large detached garage
a finished detached workshop
a long or expensive fence
a pool house
a guest house or detached living space
custom outdoor structures
multiple sheds or outbuildings
recent construction or upgrades
The right limit should be based on what it would cost to repair or replace those structures after a covered loss, not just what they cost years ago. Construction costs can change, and a limit that looked reasonable when the policy was first purchased may not be enough today.
Documentation Helps
Good records can make an other structures claim easier.
Homeowners should consider keeping photos, receipts, contractor invoices, permits, measurements, and improvement records for detached structures. A simple home inventory should include the outside of the property too.
Questions to Ask Your Insurance Agent
Before assuming your other structures are fully protected, it may help to ask a few direct questions:
What is my other structures coverage limit?\
Is it listed as Coverage B?
Does my policy cover detached garages, sheds, and fences?
Are any structures excluded because of use, condition, or location?
Is my fence covered for wind or storm damage?
Are my other structures covered at replacement cost or actual cash value?
What happens if a structure is used partly for business?
These questions can help avoid surprises after a claim.
Final Thought
Other structures coverage is easy to overlook because the main house usually gets most of the attention. But sheds, fences, detached garages, and backyard structures can still represent real value.
The best time to review this coverage is before something happens.
Look at the structures on your property. Think about what it would cost to repair or replace them. Then compare that amount with the limit shown on your homeowners policy.
Coverage terms, limits, exclusions, and claim decisions depend on the specific policy and insurance carrier. This article is for general educational purposes and should not be treated as legal, claim, or coverage advice.
At StarNet Insurance Group, we can help you review your homeowners insurance options, explain how other structures coverage may apply, and help you decide whether your current limits match the property you actually own.
