Dwelling Policy Flashcards
A gas stove exploding in the dwelling is an example of which named peril?
Internal explosion
What is the maximum number of units in residential dwellings insurable by a Dwelling policy?
Up to 4 units
What are extended covered perils on a basic dwelling policy?
- Windstorm or hail. 5. Riot or civil commotion
- Explosion. 6. Volcanic eruption
- Smoke. 7. Vandalism
- Aircraft and vehicles. 8. Malicious mischief
Replacement cost coverage is provided in both broad and special form dwelling policies when the amount of insurance on the dwelling is what percentage?
At least 80% of the replacement cost
Which dwelling form is the broad form?
DP-2
Which dwelling policy coverage will provide protection for contents damaged by fire in an insured dwelling?
Coverage C - personal property
What are some of the exclusions found in all 3 dwelling forms?
- Earth movement. 6. Nuclear hazard
- water damage. 7. Intentional loss
- Power failure. 8. Freezing of plumbing
- Neglect. 9. Ordinance or law
- War. 10. Government action
A basic dwelling policy automatically provides coverage against what?
Fire, lighting, and internal explosion
What do dwelling policies insure?
Dwelling only
Contents only
Both dwelling and contents
When will damage to the interior of the building be covered under the falling objects peril in the broad form of the dwelling policy?
Only if the interior damage is a direct result of exterior damage from a falling object.
Under Coverage C-personal property in the dwelling policy, when will a guests property be covered?
Only when the insureds property is at the insured location.
What are the 3 types of coverage available in dwelling policies?
Basic
Broad
Special
In dwelling policies, within how many years of loss may an insured bring a lawsuit against the insurer?
2 years
Which of the 3 DP forms provides the most limited coverage?
DP-1 (Basic)
Under what conditions can broad theft coverage be added to a dwelling policy?
If the insured is the owner-occupant of the dwelling.
Which dwelling form provides open peril coverage on the building?
DP-3 (Special)
DP-3 (Special) is an open-peril form. What does that mean?
All perils are insured unless specifically excluded.
What are the 5 coverages of dwelling policies?
Coverage A - Dwelling Coverage B - Other structures Coverage C - Personal property Coverage D - Fair rental value Coverage E - Additional living expenses
Which of coverage dwelling form(s) will pay for the replacement cost of a dwelling?
DP-2 (Broad)
DP-3 (Special)
Which policy coverage will insure a garage not attached to the primary insured dwelling?
Coverage B - Other structures
If an insured is in the process of moving to a new location, his personal property coverage under the dwelling policy will apply on a pro Rafa basis at both locations for how long?
30 days
In dwelling policies, any volcanic activity will be considered part of one occurrence if it all happens within how many hours?
72 hours
If 3 volcanic eruptions happen within 48 hours, and each contributes to property damage, how many deductibles will apply in the dwelling policy?
1 deductible (all instances of volcanic eruptions that occur within a 72 hour period are considered 1 occurrence)
In dwelling policies, what is the purpose of the automatic increase in insurance endorsement that increases the amount of insurance by an annual percentage?
To offset the effects of inflation.
An insured’s house becomes uninhabitable due to damages by a fire. As a result the insured has to rent an apartment until repairs are made. Which type of coverage under the dwelling policy will pay for the expense of renting the apartment?
Coverage E- Additional living expenses
