Chapter 6 Flashcards
Can people get homeowner insurance for seasonal homes?
No
What other people are covered in your homeowners insurance policy?
Spouses, students both staying at home and attending school elsewhere, and anyone under 21
Is fine art eligible for replacement cost coverage?
No
Under Coverage D - Additional Living Expenses, which statement is not true?
A) Your insurance company will cover expenses related to renting a temporary residence
B) Your insurance company will cover lost rental income if you had rented out a suite in your home
C) Your insurance company will not cover meals even if you are unable to cook at the new location
D) Your insurance company will cover kennel costs for keeping pets
C, They will cover meals if you are unable to cook at the new location
Condo owners insurance insures the original value of the building, true or false?
False, their insurance only really insures stuff inside the unit, not the building
What is the Extension of Coverage called “Tear Out?”
This provides payment for repairing walls, floors, etc, that have to be “torn out” to fix something behind, like water pipes
Minus the dwelling building itself, explain some of the coverages available under the “Coverage A - Dwelling building” section of the homeowners form
- Permanently attached outdoor equipment (sheds, tree houses, swings, hoses, etc)
- Outdoor swimming pools and attached equipment
- Materials and supplies for either repairs or additions to the dwelling itself
- Temporarily removed fixtures
- Outdoor plants
Explain the coverage available under “Coverage D - Additional Living Expenses”
There are 2 coverage sections:
1. Additional Living Expenses: these are extra expenses that are needed to maintain the insureds normal standard of living. So like maybe payment for a hotel, added food costs if they can’t cook & have to eat out, etc
2. Fair Rental Value: If someone rents out their basement and lose income from that they’ll be compensated
