Does Homeowners Insurance Cover Other Structures?

Home insurance covers other structures under Coverage B at 10% of your dwelling limit. Fences, sheds and detached garages are covered for fire, wind and other standard perils.

Find out if you're overpaying for home insurance below.

Written by Mark Fitzpatrick

Updated: April 2, 2026

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Key Takeaways

Coverage B covers detached structures (garages, fences, sheds and guesthouses) up to 10% of your dwelling coverage limit as a default on standard HO-3 and HO-5 policies.

Coverage B applies only to the named perils covered by your dwelling: fire, windstorm, hail, lightning, vandalism and theft. Flood and earthquake damage to other structures are excluded unless you carry separate flood or earthquake coverage.

Structures used for any business purpose (i.e., a home office shed or commercial garage) are excluded from Coverage B entirely, regardless of their location on your property. Separate commercial coverage is required.

Does Home Insurance Cover Other Structures on Your Property?

Yes, a standard homeowners insurance policy covers detached structures on your property under Coverage B (Other Structures). By default, Coverage B is set at 10% of your dwelling coverage limit (Coverage A). On a home insured for $250,000, that means $25,000 automatically applies to detached garages, fences, sheds, and similar structures.

Coverage B isn't a separate policy: it's a built-in component of every standard HO-3 and HO-5 form. It pays to repair or rebuild covered structures after damage from a named peril such as fire, windstorm, hail, or vandalism. Flood damage, earthquake damage, and business-use structures are excluded from Coverage B regardless of the structure's value or location on your property.

What Is Other Structures Coverage?

Coverage B is the section of a standard homeowners policy that pays for damage to detached structures not physically connected to the main dwelling. The default coverage amount equals 10% of your Coverage A (dwelling limit) at the time your policy is issued. A home with $300,000 in dwelling coverage automatically carries $30,000 in Coverage B.

The four most common structures covered under Coverage B are detached garages, fences, sheds, and guesthouses or pool houses. Some insurers allow policyholders to increase the Coverage B percentage at the time of purchase, typically in exchange for a small premium increase, making it possible to match coverage to the actual replacement cost of high-value detached structures.

What Other Structures Coverage Covers (and What It Doesn't)

Coverage B protects a broad range of detached structures (garages, fences, sheds, guesthouses, pools, and hardscaping) against covered perils including fire, windstorm, hail, lightning, vandalism and theft, subject to your policy's terms and your Coverage B limit.

Detached Garage

A detached garage is one of the most commonly claimed Coverage B structures. It's protected against fire, wind, hail, lightning and vandalism under standard HO-3 and HO-5 policies. On a $250,000 dwelling with a $25,000 Coverage B limit, a total loss to your detached garage is covered up to that $25,000 cap, minus your deductible.

Fences and Walls

Fences, retaining walls and boundary walls qualify for Coverage B protection when damage results from a covered peril (such as windstorm, vehicle impact or fire). Normal deterioration, settling and rot are not covered. A fence knocked down by a named storm event is a valid covered claim up to your Coverage B limit.

Sheds and Storage Buildings

Detached storage sheds and utility buildings are covered for the same perils as your main dwelling under Coverage B. Contents stored inside (tools, lawn equipment, bicycles) fall under Coverage C (personal property), not Coverage B. The shed structure itself and its permanent fixtures are what Coverage B protects.

Guesthouses and Pool Houses

A detached guesthouse or pool house qualifies for Coverage B provided it's not rented out to a tenant and not used for any business purpose. Rental use (even occasional short-term rentals) removes the structure from Coverage B eligibility. Personal guest use on a property you own and occupy keeps the structure covered.

Swimming Pool and Hardscaping

In-ground pools and permanent hardscaping such as patios and retaining walls may be covered under Coverage B against specific perils like fire, windstorm and vehicle impact. Some insurers exclude pools or cap hardscaping separately from other structures. Review your policy declarations page to confirm your insurer's treatment of pools.

What Coverage B Doesn't Cover

Not all damage to detached structures is covered under Coverage B. The following exclusions apply across most standard homeowners policies and can leave large gaps if you're not aware of them.

Flood Damage

Flooding from rain, storm surge or rising groundwater is not covered under standard Coverage B. To protect detached structures from flood damage, you need a separate policy through the National Flood Insurance Program or a private flood insurance carrier. Without separate flood coverage, a single flood event could destroy an uninsured $30,000 detached garage with no reimbursement.

Earthquake Damage

Earth movement exclusions apply to the entire homeowners policy, including Coverage B. A detached garage cracked or collapsed by an earthquake is not covered under a standard policy. A separate earthquake policy or endorsement is required to cover detached structures in earthquake-prone regions. Check your declarations page for any earth movement exclusion language.

Business-Use Structures

Any detached structure used for business purposes is excluded from Coverage B (a home office shed, photography studio, or mechanic's garage all qualify as business-use structures under most policy definitions). A commercial property policy or in-home business endorsement is required for coverage, regardless of where the structure sits on your property.

Wear, Tear and Neglect

Gradual deterioration, rot, rust, pest damage, and neglected maintenance are not covered perils under Coverage B. A fence that falls from age or a shed roof that fails after years of water exposure won't produce a valid claim. Homeowners insurance covers sudden, accidental losses (not maintenance failures or long-term wear).

Attached Structures

Any structure with a shared wall or covered walkway connecting it to the main dwelling is classified as part of the dwelling under Coverage A, not Coverage B. An attached garage is the most common example. These structures are subject to your Coverage A limit and perils (not the separate Coverage B sublimit).

Coverage B applies only if your homeowners policy includes other structures coverage. Limits, exclusions and covered perils vary by insurer and policy form. Review your declarations page for your Coverage B limit.

When to Increase Your Coverage B Limit

The default 10% Coverage B limit works for many homeowners, but three situations warrant requesting a Coverage B endorsement to raise your limit.

First, if you've built or substantially renovated a detached garage whose replacement cost exceeds 10% of your dwelling coverage, the default limit won't cover a total loss.
Second, high-value fence installations (wrought iron, stone or full-perimeter privacy fencing costing $15,000 to $30,000 or more) can easily surpass the default sublimit.
Third, a detached guesthouse or pool house whose replacement cost meaningfully exceeds 10% of your dwelling limit requires a higher Coverage B amount for full protection.

To increase your Coverage B limit, contact your insurer and request a Coverage B limit increase through a policy endorsement. Premiums increase by a small amount (typically a few dollars per month) making this one of the most cost-effective coverage upgrades available to homeowners with high-value detached structures.

How to File a Claim for Other Structures Damage

When a covered peril damages a detached structure, filing correctly under Coverage B takes four steps.

1
Confirm the Structure and Peril Are Covered
Check your declarations page to confirm your Coverage B limit and verify the cause of damage is a covered peril. Structures used for business purposes and damage from flooding or earthquakes are not covered under standard Coverage B, so confirming eligibility before filing saves time and avoids a denied claim.
2
Document the Damage
Photograph the damaged structure from multiple angles before making any temporary repairs. Note the date of the incident and gather supporting evidence (weather service reports for wind or hail events, or a police report if vandalism or vehicle impact is involved). Thorough documentation speeds up adjuster review and supports your claim amount.
3
Make Temporary Repairs to Prevent Further Loss
Homeowners policies require policyholders to take reasonable steps to prevent additional damage after a covered loss. Tarp a damaged shed roof, board up a broken fence panel, or cover an exposed garage opening. Keep all receipts for materials and labor — reasonable temporary repair costs are typically reimbursable under your policy.
4
File the Claim and Meet the Adjuster
Contact your insurer to open the claim and schedule an adjuster visit. The adjuster will assess whether the damage is from a covered peril and estimate repair or replacement cost. Payment is issued minus your deductible, up to your Coverage B limit. If you disagree with the adjuster's estimate, you may request a re-inspection or invoke your policy's appraisal process.

Other Structures Coverage: Bottom Line

Coverage B is a standard feature of HO-3 and HO-5 homeowners policies, automatically set at 10% of your dwelling coverage limit for detached garages, fences, sheds, and similar structures. Coverage applies only to named perils (business-use structures, flood damage, and earthquake damage are excluded regardless of the structure's value). To protect detached structures adequately, review your Coverage B limit on your declarations page, compare it to the actual replacement cost of your structures, and request a limit increase endorsement if a gap exists. For the most thorough protection, compare options from the best homeowners insurance companies to confirm your policy terms and Coverage B limits align with your property's needs.

FAQs About Other Structures Coverage

What qualifies as an "other structure" under my homeowners policy?

Any detached structure on your property that isn't attached to the main dwelling qualifies (detached garages, fences, sheds, guesthouses, pool houses, driveways and retaining walls are the most common examples). An attached garage with a shared wall is part of your dwelling under Coverage A, not Coverage B.

Does my homeowners policy cover a fence damaged in a windstorm?

Yes, if windstorm is a covered peril in your policy (it is on most HO-3 and HO-5 policies), fence damage from a named wind event is covered under Coverage B, up to your Coverage B limit. Gradual fence deterioration and damage from flooding are not covered.

Is a detached garage covered if I use it as a home workshop?

Personal hobby use doesn't disqualify a structure from Coverage B. If you sell products, see clients, or conduct commercial activity in the garage, it becomes a business-use structure and is excluded from Coverage B. A home business endorsement or commercial policy is required for coverage in that case.

What happens if my other structures coverage limit isn't enough to rebuild?

You're responsible for the difference between your Coverage B limit and the actual rebuild cost. If your detached garage costs $40,000 to rebuild and your Coverage B limit is $25,000, you pay the remaining $15,000 out of pocket after your deductible is applied. Contact your insurer to request a Coverage B limit increase before a loss occurs, not after.

Does other structures coverage apply to a fence between my property and my neighbor's?

Coverage applies to structures on your property. A shared boundary fence may create a dispute over which policy applies. Document who owns the fence and review your policy's definitions. Some insurers cover your share of the damage to a shared fence; others require proof of ownership.

Can I get a separate policy just for a high-value detached structure?

Standalone coverage for a single detached structure isn't commonly available. The most practical option is to increase your Coverage B limit through an endorsement on your homeowners policy. For a detached guesthouse with separate utilities that functions as a rental unit, a landlord or dwelling fire policy may be more appropriate.

About Mark Fitzpatrick

Mark Fitzpatrick, a Licensed Property and Casualty (P&C) Insurance Producer in Connecticut, is MoneyGeek's resident insurance expert. He has analyzed the insurance market for almost a decade, first with LendingTree and now with MoneyGeek, conducting original research on hundreds of insurance companies and millions of insurance rates for insurance shoppers.

He writes about economics and insurance on MoneyGeek, breaking down complex topics so people can have confidence in their purchase. Like all MoneyGeek analysts, Mark collects and analyzes independent cost and consumer experience data on insurance companies to provide objective recommendations in our content that are independent of any of MoneyGeek's insurance company partnerships.

His insights on products ranging from car, home and renters insurance to health and life insurance have been featured in The Washington Post, The New York Times and NPR, among others.

Mark holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He started his career working in financial risk management at State Street before transitioning to the analysis of the personal insurance market. He's also a five-time Jeopardy champion!

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