Ch. 3- Types of Property Policies Flashcards
The Dwelling policy requires that the dwelling have not more than ____ family units
4
The Dwelling Property Policy can be used to insure what?
- Dwelling only
2.
What does “DP” mean in insurance terms?
Dwelling Property
What does “HO” mean in insurance terms?
Homeowners Policy
What is the form name and peril type for DP1
- Basic
2. Named Peril
What is the form name and peril type for DP2?
- Broad
2. Named Peril
What is the form name and peril type for DP3?
- Special
2. Named and Open Perils
What are the extended coverage perils for a DP-1 policy? (Hint: W.C. SHAVER)
Windstorm Civil commotion Smoke Hail Aircraft Volcanic Eruption Explosion Riots
What are the coverage perils for a DP-2 policy? (Hint: B.B. BICE GOLF)
Bursting of heating systems Burglary damage Breaking of water heaters Ice, snow, sleet weight Collapse of building or part of a building Electrical damage (artificially generated) Glass breakage Objects falling from outside Leakage of water/steam damage Freezing of water
How many core property coverages can a dwelling policy select?
A dwelling policy can select among 4 different core property coverages.
What is the name of Property Coverage A? What does it mean?
- Dwelling
2. Property coverage A is what is included for coverage as a dwelling.
What is the name of Property Coverage B? What does it mean?
- Other Structures
2. Covers other separate structures at the same location. For example, shed or garage.
What is the name of Property Coverage C? What does it mean?
- Personal Property
2. Covers personal property usual to a residence.
What is the name of Property Coverage D? What does it mean?
- Fair Rental Value
2. Applies if property under coverage A, B, or C becomes damaged or destroyed by a peril policy covers.
Under the basic form, how are property losses settled?
Losses are settled on an Actual Cash Value basis
