noun
HO-3
In plain English
The most common homeowners policy — covers your home all-risk and your personal property named-peril.
The default for most owner-occupied single-family homes. The dwelling (Coverage A) is open peril; the personal property (Coverage C) is named peril. Step up to HO-5 if you want personal property to be all-risk too.
What it covers
Coverage A (dwelling), B (other structures), C (personal property), D (loss of use), E (personal liability), F (medical payments to others). Dwelling is all-risk; personal property is named peril.
What it does not cover
It does NOT cover flood, earthquake, intentional acts, or normal wear and tear. Special-coverage items (jewelry, art, collectibles) need scheduled-articles riders for proper limits.
Where it trips people up
Mid-tier carriers sometimes downgrade the roof from replacement-cost to ACV by endorsement. Check the form list for ACV roof clauses, especially in hail-prone markets.
The technical version
An ISO homeowners form (HO 00 03) providing open-peril coverage on the dwelling and other structures and named-peril coverage on personal property, for owner-occupied 1-4 family dwellings.