The HO-4 policy, also known as a renters insurance policy, is designed for individuals who rent their living space, such as an apartment or house. This insurance provides coverage for personal belongings against risks like theft, fire, or vandalism. It also includes liability protection, which helps cover legal costs if someone is injured in the rented space. Unlike homeowners insurance, the HO-4 does not cover the physical structure of the building, as that is the responsibility of the landlord. Renters can customize their HO-4 policy with additional coverage options, such as for valuable items or additional living expenses if they need to relocate temporarily due to damage.