Which DP Coverage includes additional living expenses for policyholders?

The correct choice is indeed the coverage that addresses additional living expenses for policyholders. This type of coverage is designed to assist policyholders in managing costs that arise when their home becomes uninhabitable due to a covered peril. It includes expenses like temporary accommodation, meals, and other living costs that exceed the normal living expenses.

By providing financial support for these additional living costs, this coverage ensures that policyholders can maintain a standard of living while their primary residence is being repaired or rebuilt. This aspect of the coverage is crucial for individuals facing unexpected disruptions due to certain hazards, allowing them to focus on addressing the damage to their home without also having to worry about how to afford daily needs during the interim.

The other coverage options do not encompass additional living expenses. Instead, they typically focus on different types of property damage or liability aspects, which do not directly address the need for temporary living arrangements if the home is not livable. This distinction highlights why the coverage that caters to additional living expenses is essential in a comprehensive homeowners’ policy.