Chapter 2 Flashcards
Three Homeowners Forms
- basic
- broad
- comprehensive
who can buy a homeowner’s form?
- single family dwellings occupied year round.
- dwellings containing more than one family.
- insured’s having more than one principal dwelling
- mobile homes situated on full basement
- dwellings in the course of construction to be occupied by insureds upon completion
Common characteristics of homeowners forms
- clear language approach
- common format or structure
- policy definitions uniform
- insure same exposures to loss
define “insured”
The person named as insured on the coverage page, and, while living in the same household:
- his/her spouse
- the relatives of either
- any person under 21 in their care (foster children, exchange students)
- student attending school who is dependent on the insured even if temporarily living away
Property Coverages
- dwelling building
- detached private structures
- personal property
- additional living expense
Liability Coverages
- Personal Liability
- Voluntary Medical Payments
- Voluntary payment for damage to property.
- Voluntary compensation for residence employees
What is included under the coverage “dwelling building?”
- dwelling and attached structures
- outdoor swimming pool and attached equipment on the premises
- materials/supplies on/next to the premises for construction of the dwelling/private structures
3 insuring agreements for personal property under coverage c
- on premises
- off premises
- property of students
Three property items that are not covered under personal property.
- motorized vehicles/equipment
- aircraft/equipment
- camper units/truck caps/trailers/equipment
Acronym for types of personal property items with special limits of insurance, regardless of loss
B-M-P-S-G-W-C-S
list of types of personal property items with special limits of insurance, regardless of loss (BMPSGWCS)
- business property
- securities
- property of students temporarily away
- money/bullion
- garden tractors/accessories
- watercraft
- computer software
- spare automobile parts
list types of property with special limits when they have been stolen
- jewellery/watches/gems/furs/fur garments/garments trimmed with fur
- numismatic property (coin collections)
- manuscripts/stamps/philatelic property
- collectible cards
- each bicycle/its equipment
what is included in the coverage “additional living expense”
- additional living expense
- fair rental value
- civil authority
3 conditions placed on the insured if policy includes Guaranteed Replacement Cost
- must insure dwelling to 100% of the evaluation
- insured must not have reduced amount of insurance lower than evaluation.
- insured notifies insurer within 90 days of any construction/addition/renovation made to dwelling
Replacement Cost
repair or replace lost or damaged property without deduction for depreciation
