Dwelling

Question 1

Dwelling Policy vs Homeowner Policy

Answer 1

dwelling does not require the risk to be occupied.

Dwelling policy does not contain the peril of theft

Question 2

Dwelling Policy Eligibility

Answer 2

single family
1-4 family homes
duplexes, triplexes
Maximum of 5 roomers or boarders
Dwellings under construction
permanently installed mobile homes
only incidental business risks

Question 3

DP1(Basic)

Answer 3

fire, lightning, internal explosion

Question 4

DP1-Fire

Answer 4

Must be hostile fire not friendly

only direct damage is covered.

Question 5

DP1-Lightning

Answer 5

electricity atmospherically produced by nature.

Question 6

DP1-Internal Explosion

Answer 6

Ex: furnace, stove, hot water heater.
It does not mean: electrical arcing, breakage of water pipes, breakage of operation of pressure release devices, or steam boilers/steam pipes.

Question 7

Extended Coverage Perils

Answer 7

Wind/Hail-must have damage to the outside of the damages. Awnings, signs, radio or tv antennas, rowboats, canoes are excluded.
Explosion
Riot or Civil Commotion
Aircraft damage
vehicular damage-excludes when caused by a vehicles owned and operated by an insured or a residence
smoke-does not cover agricultural smudging or industrial operation.
volcanic eruption

Question 8

DP2 Broad Form

Answer 8

Named peril for structure or contents for direct loss caused by fire, lightning, and internal explosion.

Extended coverage perils. It also provides coverage for broad form perils

Question 9

Broad form perils

Answer 9

Damage by burglars
Weight of Ice, snow, or sleet
Accidental discharge
Falling objects-there must be damage to outside of the dwelling first.
Freezing-provided heat was maintained, or the water was drained.
Artificially Generated Electrical Current***
Sudden and Accidental Tearing Apart, Cracking, burning or bulging.

Question 10

DP3-Special Form

Answer 10

Open peril for dwelling and other structures subject to exclusions.
Named perils for personal property-same perils as provided on a DP-2.

Question 11

DP3-Exclusions

Answer 11

war
smoke from agricultural smudging
smog
mech. breakdown
Settling
loss caused by birds vermin, rodents, insects or domestic animals
wind, hail, ice, snow or sleet damage to antennas, lawns, plants shrubs and trees.
Freezing, thawing, or damage caused by weight of ice, snow or sleet to awnings fences, pavements patios, swimming pools, foundations, retaining walls, bulkheads, piers, wharfs, docks.
Theft of property not actually part of the insured dwelling
Vandalism or glass breakage if the dwelling has been vacant for more than 60 days
Any loss involving collapse other than provided under other coverages
discharge, dispersal, seepage, migration release or escape of pollutants, meaning any solid, liquid, gaseous or thermal irritant.

Question 12

Dwelling Form Coverage A

Answer 12

Coverage A=Building
DP1-Pays on an ACV Basis
DP-2 and DP-3 pay on replacement cost basis.

Question 13

Coverage B= Other Structures

Answer 13

10% of the coverage A amount. This is additional coverage for a DP-2 and a DP-3
DP-1 it is included in the limit of liability

Question 14

Coverage B Other Structures does not apply to:

Answer 14

any structures used for business or farming purposes
to any structure rented or held for rental to a person who is not a tenant of the building
To any structure that contains commercial manufacturing or farming property that is owned by the insured or a tenant.
to grave markers or masoleums

Question 15

Coverage C: Personal Property

Answer 15

Paid on an ACV Basis
Coverage is only at the insured location
10% coverage is provided for property off the premises on a worldwide basis.
Newly purchased residences have coverage automatically for 30 days.

Question 16

Coverage C Personal Property Exclusions

Answer 16

a. accounts, bank notes
b. animals, birds, fish
c. Aircract
d. Boats(other than rowboats and canoes)
e. Data
f. Credit Cards
g. motor vehicles unless used to service the described location or designed to assist the handicapped.
h. hovercraft
i. Water or steam
j. gravemarkers, including mausoleums

Question 17

Coverage D Fair Rental Value

Answer 17

an indirect loss that will pay the fair rental value of that part of the described location rented to others.
Payment is for the shortest time required to repair/replace the damaged part.
DP1-included in the limit of liability20% of coverage A.
DP2 and DP3-an additional amount of coverage.

Question 18

Civil Authority

Answer 18

the government prevents an insured to use his covered property, due to direct damage to a neighboring location, coverage is provided.

Question 19

Coverage E Additional Living Expenses

Answer 19

increase in living expenses when a property is unfit for use.
DP1-needs to be purchased separately
DP2 and DP3-combine additional living expenses and fair rental value up to 20% of coverage A in addition to the limits

Question 20

Other Coverages-Debris Removal

Answer 20

included in the limit of liability. Not additional insurance

Question 21

Improvements, Alterations, Additions

Answer 21

If a tenant, 10% of coverage c is available for any improvements, additions or alterations. must be used solely by the insured.

Question 22

World Wide Coverage

Answer 22

10% of the coverage C limit except for rowboats and canoes.

Question 23

Reasonable Repairs

Answer 23

does not increase the limit of liability
used to prevent further damages
does not relieve the insured of his/her duties

Question 24

Property Removed

Answer 24

covers personal property for any cause while being removed from the premises endangered by a peril insured against.
Max of 30 days.

Question 25

Trees Shrubs and Other Plants

Answer 25

vandalism/malicious mischief, burglary damage, but not theft.
Additional Insurance. 5% of the Cov A limit
Max of $500 for any one tree, shrub, or plant

Question 26

Fire Department Service Charge

Answer 26

$500 limit
Additional coverage
No deductible applies

Question 27

Collapse

Answer 27

Included in the DP2 and DP3
Covered abrupt falling down or caving in of a building or any part caused by
a. perils insured against
b. hidden decay
c. hidden vermin or insect damage
d. weight of contents
e. weight of rain collected on a roof
f. use of defective materials.
Does not increase the limit of liability

Question 28

Glass or Safety Glazing material

Answer 28

coverage only under dp2 and DP3
does not apply if premises have been vacant if longer than 60 days.
Does not increase the limit of liability

Question 29

Ordinance or Law

Answer 29

DP2 and DP3 only.
10% of coverage A. Additional insurance
Used for enforcement of code upgrades.

Question 30

General Exclusions

Answer 30

1. war
2. nuclear hazard
3. water damage
4. Earth movement
5. Ordiance or Law-except as provided under other coverages
6. Governmental Action
7. Power Failure
8. Neglect
9. Intentions Loss