Dwelling Insurance Flashcards
Broad form
Named perils
- DP-2
Basic form
Named peril
- DP-1
Special form
Open peril
- DP-3
DP- 1 coverages (3)
Fire, lightning, internal explosion
Extended coverage perils for DP-1 (9)
Riot, explosion, vehicles, civil commotion, smoke, hail, aircraft, windstorm, volcanic eruption
Vandalism and malicious mischief available for separate premium
DP- 2 covered perils (6)
All coverages covered by DP-1 along with:
Damage due to burglars, weight of ice snow or sleet, discharge of water or steam, falling objects, sudden tearing cracking or burning
DP-3 policy form
Open peril coverage
Insurers against all direct physical damage to property unless specifically excluded
Eligibility for dwelling insurance
Residential structures with 1-4 units
Property does not need to be owner occupied
Farms are not eligible
How are coverages A-E added to each policy
Added by endorsement to DP-1
Included on the DP-2 and 3
Coverage A: Dwelling
Valued policy loss settlement
Coverage includes:
Dwelling, structures attached to the dwelling, supplies or materials used for construction or repair, outdoor equipment used to service the premises
Coverage B: Other Structures
- Policy limit 10% of coverage A
- Buildings on the premises not attached to dwelling
- Building can’t be used for commercial, farming, or manufacturing purposes
Coverage C: Personal Property
Policy limit: declared amount, selected by customer
- Property of tenants NOT covered
personal property off premises- 10% of coverage C limits
Coverage D: Fair Rental Value
- Policy limit 20% of coverage A
- Reimburse lost rental revenue after covered loss
- Civil authority- 2 weeks
Coverage E: Additional living expenses
- 20% of coverage A
- Additional living expenses after covered loss
- Must be owner occupied
- Civil authority- 2 weeks
What are some additional coverages paid in addition to all other limits of liability
Debris removal, reasonable repairs, property removed, fire department service charge
Improvements, alterations, additions
- 10% of Coverage C available
- tenants making alterations to dwelling
Additional coverages for DP-2&3 only
Collapse
Glass or safety glazing material
Ordinance or law
Trees and shrubs
Common Exclusions for dwelling insurance (7)
Property insured elsewhere, property rented to others, animals birds fish ect., property of renters, aircraft, motorized vehicles, watercraft
Coverage L: Personal liability
Personal liability
- Bodily injury and property damage
- insured must be legally liable
- Supplementary payments
- Comparable to HO section 2: coverage E
Coverage M: medical payments to others
- Reasonable medical and funeral expenses
- 3 year limit on claims
- Insured not required to be liable
- Excludes insured and family members
- Comparable to HO Section II: coverage F
Other endorsements for dwelling insurance
- Automatic increase in insurance
- Broad form or limited form theft coverage
- Dwelling under construction
