Coverage D - Loss of Use
Coverage D provides you and your family with shelter in the event you need to leave your home due to an insured loss. Usually, this coverage will be limited to a defined time period (12 to 24 months is common), though some carriers will limit it based upon a dollar figure, usually as a percentage of your Coverage A limits.
This coverage only applies to additional costs incurred by your inability to use your home. Specifically, it will likely only cover expenses that you do not normally incur. For example:
You live in Denver, Colorado and have a monthly mortgage of $1,000
Your home is damaged in a fire and you must move out and stay at a nearby hotel for two nights at $100 per night
Coverage D will reimburse you for the $200 hotel stay, but the mortgage is still your responsibility, even though you did not live in that home.