CSP Insurance Services was founded in 1939, when Clifford Cormell joined Earnest Streett to sell insurance in Florence. More than 80 years later, we still answer the phone ourselves. No call centers, no chatbots — just a local team that knows your name and your policy.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

Hospital bills, treatment, and prescriptions for a work-related injury or illness.

Medical expenses

Claims history

If you own a rental property in South Carolina, a vacation home along the Grand Strand, or a house that sits empty between tenants, there's a good chance a standard homeowners policy won't cover it. Insurance carriers are particular about who lives in a property and how it's used, and the moment a home isn't your primary residence, you're often looking at a different type of coverage entirely.


That's where dwelling fire insurance comes in. It's a policy designed specifically for properties that don't fit the traditional homeowners mold: rental houses, seasonal cottages, vacant properties, and homes under renovation. Despite the name, it covers far more than just fire damage. Understanding the coverage components, policy limits, and the differences between policy forms can save you thousands of dollars and a massive headache when something goes wrong. With the national average home insurance premium projected to hit $3,057 in 2026, getting the right policy at the right price matters more than ever.

Understanding Dwelling Fire Insurance Basics

Dwelling fire policies exist to fill a gap that standard homeowners insurance leaves wide open. A typical homeowners policy (known as an HO-3) assumes you live in the home full-time. When that assumption breaks down, so does your coverage eligibility.


A dwelling fire policy, by contrast, is built for properties where the owner doesn't reside. It covers the physical structure against specific perils, and depending on the form you choose, it can include personal property, loss of rental income, and even liability protection. Think of it as a stripped-down, customizable alternative to homeowners insurance that you can build up based on what you actually need.

How Dwelling Policies Differ from Homeowners Insurance

The biggest difference is occupancy. Homeowners insurance requires owner-occupancy. Dwelling fire policies don't. That single distinction changes everything about how the policy is structured, what it covers by default, and what you'll pay.


Homeowners policies typically bundle personal property coverage, liability protection, and loss of use into one package. Dwelling fire policies start lean: you get structure coverage, and then you add on what you need. This modular approach works well for landlords who don't keep personal belongings in the property or who want liability coverage handled through a separate umbrella policy.


The cost structure differs, too. Because dwelling policies cover properties that statistically carry more risk (vacant homes, tenant-occupied rentals), premiums can run higher per dollar of coverage. But you're also not paying for bundled coverages you don't need.

Who Should Consider a Dwelling Fire Policy?

Landlords with one or two rental properties are the most common buyers, but they're far from the only ones. If you own a beach house in Myrtle Beach that you rent out part of the year, a dwelling fire policy likely fits better than a homeowners policy. The same goes for inherited properties you haven't moved into, homes under major renovation, or houses sitting vacant while you try to sell them.


South Carolina investors buying properties in Florence or Columbia to flip should also pay attention. A vacant home without a dwelling policy is essentially uninsured, and claims severity has reached all-time highs even as claim frequency declines. One burst pipe or electrical fire in an uninsured vacant property can wipe out your entire investment.

Your CSP agent

Lawson Walker, CIC

Insurance Sales

CSP Insurance Services is a fully licensed independent insurance agency serving individuals, families, and businesses across South Carolina.

From our home in Florence, we proudly serve clients in Florence, Myrtle Beach, Rock Hill, Columbia, and communities throughout South Carolina. As an independent Trusted Choice agency, our team works with a wide range of top-rated carriers to provide personal and commercial coverage — home, auto, business, life, and more — tailored to the real needs of the people and businesses we protect.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Comparing DP-1, DP-2, and DP-3 Coverage Forms

Dwelling fire insurance comes in three standardized forms, and the differences between them are significant. Choosing the wrong one can leave you paying out of pocket for losses you assumed were covered.


The DP-1 is the most basic form. It covers a short list of named perils on an actual cash value basis, meaning depreciation gets subtracted from your payout. The DP-2 expands the peril list and adds broader coverage. The DP-3 is the most comprehensive, covering the structure on an open-perils basis, meaning anything not specifically excluded is covered. The gap between a DP-1 and DP-3 policy can be enormous when it comes time to file a claim.

Comparison Chart: Basic vs. Special Form Coverage

Feature DP-1 (Basic) DP-2 (Broad) DP-3 (Special)
Structure coverage Named perils only Broader named perils Open perils (all risks)
Personal property Named perils only Named perils Named perils
Valuation Actual cash value Replacement cost available Replacement cost standard
Theft coverage Not included Not included Optional add-on
Water damage Very limited Some coverage Broad coverage (not flood)
Best for Vacant/low-value properties Budget-conscious landlords Active rental properties

Named Perils vs. Open Perils Explained

Named perils coverage means the policy lists every specific event it covers: fire, lightning, windstorm, hail, explosion, and so on. If the cause of your loss isn't on the list, you're out of luck. A DP-1 typically covers around 10 named perils.


Open perils coverage flips the script. Instead of listing what's covered, it lists what's excluded. Everything else is fair game. This is a much stronger position to be in as a property owner because the burden of proving an exclusion applies falls on the insurer, not on you. For rental properties generating income, the DP-3's open perils approach is almost always worth the higher premium.

Core Components of a Dwelling Fire Policy

Every dwelling fire policy is built around a few core coverage categories, each labeled with a letter. Understanding what each one does helps you avoid both gaps and redundancies in your coverage.

Coverage A & B: The Physical Structure and Other Structures

Coverage A protects the main dwelling itself: the walls, roof, built-in appliances, and permanently attached fixtures. This is the backbone of the policy, and your Coverage A limit should reflect the full cost to rebuild the structure from the ground up. Don't confuse this with market value or purchase price. Rebuilding costs in South Carolina have climbed steadily, and a complete insurance guide should account for current construction costs in your area.


Coverage B extends protection to other structures on the property: detached garages, storage sheds, fences, and similar buildings. It's typically set at 10% of your Coverage A limit, though you can adjust it. If your rental property in Rock Hill has a detached workshop, make sure Coverage B is high enough to replace it.

Coverage C & D: Personal Property and Fair Rental Value

Coverage C covers personal property inside the dwelling. For landlords, this usually means appliances you've provided for tenants: refrigerators, washers, dryers, and window units. It does not cover your tenant's belongings. That's their renter's insurance responsibility.


Coverage D is where dwelling fire policies diverge from homeowners insurance in an interesting way. Instead of "loss of use" coverage (which pays for your temporary housing if your home becomes uninhabitable), dwelling policies offer fair rental value coverage. If a covered loss makes your rental property uninhabitable, Coverage D reimburses the rental income you lose during repairs. For a landlord with a mortgage to pay, this coverage can be the difference between staying afloat and going underwater.

Optional Liability and Medical Payments Add-ons

Here's something that surprises many first-time landlords: liability coverage is not included by default in most dwelling fire policies. If a tenant's guest trips on a broken step and sues you, a basic DP-1 or DP-2 won't help.


You can add personal liability and medical payments coverage as endorsements. Liability limits typically start at $100,000 and can go up to $300,000 or more. Medical payments coverage, which pays smaller injury claims regardless of fault, usually caps around $1,000 to $5,000. For landlords, adding these endorsements is strongly recommended. An independent agency like CSP Insurance Services can help you figure out whether standalone liability coverage or a policy endorsement makes more financial sense for your situation.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Factors That Influence Your Coverage Limits and Premiums

Several variables determine what you'll pay for a dwelling fire policy. Location is the big one, especially in South Carolina where coastal wind and hail exposure can dramatically increase premiums in areas like Myrtle Beach compared to inland cities like Columbia or Florence.


The age and condition of the property matters, too. Older homes with outdated electrical, plumbing, or roofing systems cost more to insure because they're more likely to generate claims. Renovating these systems before shopping for coverage can lower your premium significantly. The 2026 insurance market remains challenging, with carriers tightening underwriting standards and raising rates in storm-prone regions.


Your claims history, the property's proximity to a fire station, and whether you've installed protective devices (smoke detectors, security systems, water leak sensors) all factor into pricing as well.

Actual Cash Value vs. Replacement Cost

This is one of the most consequential decisions you'll make when setting up your policy, and it's one many landlords get wrong.


Actual cash value (ACV) pays you the depreciated value of whatever was damaged or destroyed. If your 15-year-old roof is destroyed by a windstorm, ACV gives you what a 15-year-old roof is worth: not much. Replacement cost coverage pays what it actually costs to replace the roof with a new one of similar quality.


The premium difference between ACV and replacement cost is usually 10-20%. For a property you plan to hold long-term, replacement cost coverage almost always pays for itself the first time you file a claim. DP-1 policies typically only offer ACV, which is one more reason serious landlords tend to opt for DP-2 or DP-3 forms.

Specialty Lines: Flood, Earthquake, and Valuable Items

Flood insurance is a separate policy, typically written through FEMA's National Flood Insurance Program or a private carrier. If your home sits in a designated flood zone anywhere along the SC coast or near inland rivers, your mortgage lender will require it. But even homes outside mapped flood zones can flood: roughly 25% of flood claims come from properties in low-to-moderate risk areas.


Earthquake coverage is less common in South Carolina, but the state sits near the Charleston fault zone, which produced a magnitude 7.3 quake in 1886. A rider or standalone earthquake policy is worth considering if you're in the Lowcountry.


Scheduled personal property endorsements cover high-value items like jewelry, art, firearms, or musical instruments that exceed standard policy sub-limits. Most homeowners policies cap jewelry coverage at $1,500-$2,500 per item. If your engagement ring is worth $8,000, you need a scheduled endorsement or inland marine floater to cover the difference.

Common Questions About Dwelling Fire Insurance

Does dwelling fire insurance only cover fire damage?

No. Despite the name, these policies cover multiple perils depending on the form you choose. A DP-3 policy covers all perils except those specifically excluded (like flood and earthquake). Even a basic DP-1 covers windstorm, hail, lightning, and several other events beyond fire.

Can I use this for a house I live in full-time?

Technically, some carriers will write a dwelling fire policy for an owner-occupied home, but it's rarely the best option. A standard homeowners policy (HO-3) provides broader coverage and typically costs less for primary residences. Dwelling policies are designed for non-owner-occupied properties.

Is liability coverage automatically included?

No. Most dwelling fire policies do not include liability or medical payments coverage by default. You'll need to add these as endorsements, and you should. A single slip-and-fall lawsuit can cost far more than years of liability premiums.

What happens if my rental property becomes vacant?

Vacancy changes your risk profile significantly. Many dwelling fire policies reduce or eliminate certain coverages after a property has been vacant for 30-60 days. If you know a property will sit empty between tenants, notify your insurer. You may need a vacancy permit endorsement to maintain full coverage.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Boat and Watercraft Coverage for Weekend Adventures

Your homeowners policy might cover a small kayak or canoe, but anything with a motor typically needs its own policy. Boat insurance covers physical damage to the vessel, liability for injuries or property damage you cause on the water, and sometimes towing and salvage costs.


Lake-specific risks differ from coastal ones. A boat kept at Myrtle Beach faces saltwater corrosion, hurricane exposure, and higher theft rates than one stored at a private dock on Lake Wateree. Your policy should reflect where you keep and operate the boat. An independent agency like CSP Insurance Services can compare quotes across multiple marine carriers to find coverage that actually matches your boating habits rather than forcing you into a one-size-fits-all plan.

Feature Admitted (Standard) Carriers Non-Admitted (E&S) Carriers
State regulation Fully regulated; rates filed with state Exempt from rate filing; flexible pricing
Guaranty fund protection Yes: state fund covers claims if carrier fails No: no guaranty fund backstop
Policy forms Standardized (ISO forms common) Manuscript or custom forms
Risk appetite Prefers low-to-moderate risk Accepts high-risk and unusual exposures
Premium cost Generally lower Typically 20-75% higher
Surplus lines tax Not applicable Buyer pays state surplus lines tax (varies 2-5%)
Speed of placement Standard timelines Can be faster or slower depending on complexity

Making the Right Choice for Your Property

Dwelling fire insurance isn't one-size-fits-all, and picking the right policy form and coverage limits requires thinking carefully about how you use your property, what risks you face, and how much financial exposure you can tolerate.


For most South Carolina landlords with active rental properties, a DP-3 with replacement cost coverage, fair rental value protection, and a liability endorsement provides the strongest foundation. If you're insuring a lower-value property or one that sits vacant most of the year, a DP-1 or DP-2 might make more sense from a cost perspective, but understand what you're giving up.


Working with an independent agency gives you the advantage of comparing dwelling fire policy options across multiple carriers. The team at CSP Insurance Services has been helping South Carolina property owners find the right coverage since 1939, and they can walk you through the specifics of your situation without pushing a one-carrier solution. If you're ready to see what your options look like, request a quote and get a policy tailored to your property and your budget.

About the author

Lawson Walker, CIC

I'm proud to be part of an agency that's served Florence since 1939. CSP Insurance Services started as Cormell-Streett & Patterson, built by people who believed insurance should be personal — and more than eight decades later, that conviction still drives everything we do. Commitment, Service, Protection isn't just what CSP stands for; it's how I approach every client relationship.


As an independent, Trusted Choice agency, we aren't tied to any single carrier. That means I work for you — shopping multiple companies to match you with coverage that actually fits your family, your business, and your budget. No call centers, no chatbots. Just a local expert who takes the time to understand what matters to you and stands by you when it counts.


Whether you're protecting your home, your car, or a business you've spent years building, I'd be glad to help you find the right coverage.

We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Meet Richard

Most Requested

Core business coverage.

The policies most South Carolina businesses start with.

Commercial Property

Protect the building, equipment, and inventory your business runs on, so a covered fire, theft, or storm doesn’t become a closed door.

Workers Compensation

Required for most South Carolina employers with staff. It covers medical bills and lost wages when an employee is hurt on the job.

Commercial Auto

Cars, trucks, and fleets used for work need more than a personal policy. This handles liability, damage, and your drivers.

General Liability

Accidents happen on the job and on your property. General liability covers third-party injury and property damage claims against your business.

Inland Marine

Tools, equipment, and goods on the move aren’t covered by standard property policies. Inland marine protects them wherever they travel.

Business Owners (BOP)

A business owners policy bundles property and liability coverage into one package, often at a better price for small businesses.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Personal Insurance

Coverage for your home, vehicles, and family.

Protect what matters most with personal policies shopped across our carriers.

Home

Your house is likely your largest investment. Home insurance helps rebuild after covered damage and protects you from liability.

Auto

South Carolina drivers need real protection. Auto coverage handles liability, collision, medical costs, and uninsured drivers.

Umbrella

When a serious claim climbs past your home or auto limits, umbrella coverage adds an extra layer of liability protection.

Boat

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

Condo

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Get a Quote

Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

Get a Quote

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

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Industries We Serve

Specialized coverage for your industry.

Every industry carries its own risk. We help South Carolina businesses protect what they've built.

Restaurants

Kitchens, customers, and staff create daily exposure. We protect your property, equipment, liquor liability, and employees.

Manufacturers

From equipment breakdown to product liability, manufacturers face risk on the floor and beyond. We help cover property, machinery, and goods.

Healthcare Providers

Practices and clinics carry patient, property, and professional risk. We help cover liability, equipment, and the people who run your practice.

We compare several carriers to find a policy that fits you, not one company's products.

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80+ years local experience

1939

Serving SC

Commercial Property

Protect the building, equipment, and inventory your business runs on, so a covered fire, theft, or storm doesn’t become a closed door.

Meet Richard View all business coverage Get a Quote

Commercial Auto

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Cars, trucks, and fleets used for work need more than a personal policy. This handles liability, damage, and your drivers.

How It Works

Getting covered is simple.

Four steps, one real person from start to finish.

Tell us about you

Share a few details about what you need to protect. A real person reviews it.

We compare carriers

We shop options across our carriers to find strong protection at a fair price.

We recommend coverage

We walk you through the policy in plain language and answer every question.

You get covered

Sign with confidence — and we stay on for changes, claims, and yearly reviews.

We compare several carriers to find a policy that fits you, not one company's products.

Multi-carrier choice

Claims advocacy

When a claim happens, we stand in your corner and help move it forward with your carrier.

Local SC roots

We live and work in Florence and understand the risks your community faces because we face them too.

Client Reviews

Why clients choose CSP.

Independent advice, real people, and decades of local roots.

We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Get a Quote

Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

Get a Quote

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

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FAQs

Questions, answered.

Straight answers about working with an independent agency.

  • What does an independent insurance agency do?

    An independent agency represents several carriers instead of one. We compare coverage and pricing across companies, then recommend the policy that fits you best.

  • Do you cover both personal and business insurance?

    Yes. CSP writes personal lines like home and auto, and commercial lines for businesses across South Carolina.

  • How long has CSP been in business?

    CSP traces its roots to 1939, with more than 80 years serving South Carolina families and businesses.

  • Will I work with a real person?

    Always. No call centers and no chatbots — you work with a local team member who knows your account.

  • Which areas do you serve?

    We’re based in Florence and serve clients statewide, including Myrtle Beach, Rock Hill, and Columbia.

  • How do I get a quote?

    Request a quote online, call us, or stop by the office. A real person will review your needs and follow up.

How It Works

Insurance tips & updates.

Plain-language guidance to help you make confident decisions.

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We compare several carriers to find a policy that fits you, not one company's products.

◆

80+ years local experience

1939

Serving SC

Insurance Sales

J. Roger Jordan, CIC

Meet Richard

[CONFIRM bio]

Get a Quote

Boat

Your association covers the building, but not what’s inside. Condo insurance protects your belongings, improvements, and liability.

Time on the water should be worry-free. Boat coverage protects your vessel, your passengers, and your liability on the lake or coast.

Condo

Get a Quote

Motorcycle

Riders need coverage built for the road. Motorcycle insurance protects your bike, your gear, and you after an accident.

Get a Quote

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Let's find your coverage.

Tell us a little about what you need to protect. A real person from our Florence team will review it and follow up.

2420 Hoffmeyer Road, Suite D
Florence, SC 29501

Mon–Fri 8:30am – 5:00pm