Insurance policies typically extend coverage to "resident relatives" of the insured — but who counts as a resident relative, and who doesn't?

Under the standard homeowners forms, the policy definition of “insured” includes the named insured and residents of the insured's household who are relatives or other persons under the age of twenty-one in the care of the insured or a resident relative.

The concept of resident relative status — who qualifies and who doesn't — has been tested in litigation over the years. Several factors have been used by courts in determining resident relative or household member status, including living under one roof, physical presence or absence from the named insured's household, relationship of the individual to the named insured and others.

Other important factors include:

  • The subjective or declared intent of the person to remain in the household for some duration;
  • The formality of the relationship between the person and the members of the household;
  • Whether they live in the same house or premises;
  • Whether the person has another place of lodging;
  • Age and self-sufficiency;
  • What is the person's mailing address?
  • Does the person keep possessions at the insured's home?
  • What address appears on the person's driving license?
  • Is a separate sleeping place kept for the person?
  • Is the person dependent financially upon the insured?

If someone isn't covered under a standard policy, a resident of the named insured's household who is not a relative may be added by endorsement HO 04 58 Additional Insured - Household Resident as an insured for both property and liability coverage. This includes foster children and individuals living together.

The slideshow above looks at several different relationships and whether they typically qualify for resident relative coverage, according to the editors at FC&S.

Insurance coverage information provided by FC&S is general in nature and only intended for education and information purposes.

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