What type of protection does 'loss of use' coverage provide?

'Loss of use' coverage offers financial protection in situations where a property becomes uninhabitable due to a covered peril, such as a fire or severe water damage. This type of coverage is often part of homeowner's insurance policies and provides compensation for additional living expenses incurred while the home is being repaired or rebuilt. It ensures that policyholders can maintain a standard of living similar to what they had before the incident, covering costs such as temporary housing, meals, and other related expenses.

While the other options hint at various types of insurance coverages—such as personal property theft and damages during renovations—none specifically address the situation of displacement from one’s home due to a peril that renders it uninhabitable. Thus, loss of use coverage is particularly focused on ensuring that individuals are not financially strained while they wait for their homes to become livable again.