State Farm other structures coverage protects detached buildings and detached features located on your residential property. Automatically included in standard State Farm Homeowners (HO-3) insurance policies under Coverage B, this protection covers unattached garages, sheds, fences, and guest houses against specific perils like fire, windstorms, and vandalism. However, payout limits, coverage exclusions, and usage rules apply, making it essential to understand how this safety net operates before filing a claim.
What Is State Farm Other Structures Coverage?
State Farm other structures coverage, officially designated as Coverage B on a standard homeowners policy, pays to repair or rebuild detached property features if they are damaged or destroyed by a covered hazard. To qualify as an “”other structure,”” a feature must be physically separated from your primary dwelling by clear ground or connected only by a utility line, fence, or minor walkway.
If a structure shares a common wall or a continuous roofline with your main home—such as an attached two-car garage—it falls under Coverage A (Dwelling Coverage) rather than Coverage B. Understanding this distinction is critical because dwelling coverage typically carries a significantly higher financial coverage limit than the amount allocated for secondary detached buildings.
Structures Covered Under State Farm Coverage B
State Farm policies broadly cover secondary structures on your residential lot, provided they meet the physical separation requirement and are used strictly for private, non-commercial purposes. Standard policy wording extends protection to a wide variety of permanent outdoor additions.
- Detached garages, carports, workshop sheds, and storage barns
- Perimeter fences, privacy walls, retaining walls, and driveway gates
- In-ground swimming pools, outdoor hot tubs, detached saunas, and pool houses
- Gazebos, free-standing pergolas, detached decks, solar panel arrays not on the main roof, and guest houses
Items not permanently affixed to the land, such as temporary pop-up canopies or portable plastic storage bins, are classified as personal property under Coverage C rather than unattached real property under Coverage B.
Default Coverage Limits and Increasing Your Protection
The default coverage limit for State Farm other structures coverage is typically set at 10% of your primary dwelling limit (Coverage A). For example, if your policy insures your main home for $350,000, your default limit for all unattached structures combined is automatically set at $35,000.
This total percentage is shared across every detached structure on your land. If a severe storm destroys both a $30,000 guest cottage and a $15,000 detached garage in the same event, a $35,000 standard limit would leave you with a $10,000 out-of-pocket shortfall.
Property owners who own substantial detached structures—such as finished secondary living quarters, expensive pole barns, or extensive custom landscaping features—can purchase an endorsement from State Farm to raise their Coverage B percentage. Alternatively, policyholders can add specific scheduled structure endorsements to cover high-value detached buildings up to their exact replacement values without inflating the primary home’s replacement limit.
Replacement Cost vs. Actual Cash Value Payouts
State Farm policies calculate insurance payouts for other structures using either replacement cost value (RCV) or actual cash value (ACV), depending on your specific policy terms and the type of structure damaged.
Under RCV settlement options, State Farm pays the actual current cost to repair or replace the damaged property using materials of comparable quality, without subtracting money for physical depreciation due to age or wear and tear. Most standard home policies offer RCV on major detached buildings like guest houses and garages, provided the primary dwelling is also insured to its full replacement value.
However, certain outdoor structures are often settled on an ACV basis. Actual cash value factors in age, wear, and market depreciation before paying out. State Farm policies frequently restrict payout options for fences, awnings, and unroofed outdoor features to ACV. Consequently, replacing a fifteen-year-old wooden privacy fence after a severe storm may result in a significantly reduced check due to accumulated depreciation.
Perils Covered and Excluded by State Farm
State Farm other structures coverage usually operates on an open-peril basis for primary structures, meaning damage from any cause is covered unless the policy specifically lists the cause as an exclusion. Common covered perils include direct fire, lightning strikes, windstorms, hail, fallen trees, explosion, riot, civil commotion, aircraft or vehicle impact, vandalism, and the weight of ice, snow, or sleet.
Despite this wide safety net, State Farm explicitly excludes several common causes of damage from standard Coverage B policies:
- Earth movement, including natural earthquakes, mudslides, sinkholes, and land slumping
- Surface water flooding, sewer backup, mudflows, or subterranean water seepage
- Normal wear and tear, gradual decay, dry rot, wet rot, rust, or lack of routine maintenance
- Infestations caused by termites, carpenter ants, rodents, birds, or wild animals
- Freezing damage to unheated structures, plumbing, or outdoor pools during cold weather spells
If your detached garage suffers water damage due to a rising river or flash flood, standard State Farm homeowners insurance will not pay for repairs. Homeowners seeking protection against these hazards must purchase separate policy add-ons, such as flood insurance through the National Flood Insurance Program or an earthquake endorsement.
Business Use Exclusions on Unattached Structures
One of the most common reasons State Farm denies Coverage B claims involves the commercial use of detached buildings. Standard residential homeowners policies explicitly state that other structures used in whole or in part for business purposes are not covered under standard terms.
If you operate a commercial woodworking business out of your detached shop, run a auto repair service inside your detached garage, or rent out a back-house cottage to long-term tenants or short-term vacationers, standard Coverage B limits become void for those structures.
To protect structures used for home-based enterprises or rental income, you must inform your State Farm agent to attach a specific business-pursuits endorsement, home business rider, or specialized landlord policy. Failing to disclose business activities taking place in unattached structures can lead to complete claim denials following a loss.
How to File an Other Structures Claim with State Farm
Filing a claim for a damaged detached structure follows the standard State Farm property claims process. Prompt action and thorough documentation are required to ensure an accurate evaluation and timely payout.
- Take immediate photos and video footage of the damage to the detached structure from multiple angles before clearing any debris.
- Take temporary, reasonable steps to protect the structure from secondary damage, such as putting a tarp over a broken shed roof, and save all receipts for materials.
- Report the loss directly to State Farm online, through their mobile application, or by calling your local agent’s office to open a claim file.
- Meet with the assigned State Farm claims adjuster at your property to inspect the detached structure, examine repair estimates, and verify policy limits.
- Keep complete receipts for all temporary materials and contractor bids. Once the adjuster verifies that the damage was caused by a covered peril and calculates your deductible against the loss, State Farm issues the settlement payment according to your RCV or ACV policy terms.
