Homeowners

Question 1

What are the major differences between personal liability and section 2 liability in home owners

Answer 1

No built in loss assessment coverage, no farm exposure option, no personal injury option.

Question 2

Personal liability covers those of CCC of insured under what age

Answer 2

21 years old

Question 3

Farm liability does not exclude what

Answer 3

$5000 in receipts in any twelve-month period

Question 4

Olsen has a farm. In addition to doing what he must be done to successfully tend to his own operation he also does over $50,000 and farm related jobs for other farmers. If Mr. Olson has accidentally destroyed another is farmers Crop while working on it his policy would cover what?

Answer 4

His policy would cover if the custom farming option is in effect

Question 5

Under HO policy is the limit on computers and sell your phones used in business is to what amount when off premises?

Answer 5

$1500

Question 6

What is covered under the section 2 of homeowners policy

Answer 6

24 foot sailboat owned by the insured, 80 hp outboard purchased six months after policy renewal, 40 hp inboard outboard rented to the insured. Remember that go carts, are not covered

Question 7

What are some additional coverages in section 2 homeowners insurance

Answer 7

Claim expenses, first aide expenses, damage to property of others for $1000

Question 8

Can corporations purchase homeowners insurance

Answer 8

No

Question 9

Under an HO – three, and insured will receive full replacement cost coverage on a loss to dwelling if:

Answer 9

The insured carries a limit equal to or greater than 80% of replacement cost of the dwelling

Question 10

What is the limit of coverage D on HO-3?

Answer 10

30% of coverage a

Question 11

Can motorhomes be covered under section 2 homeowners policies

Answer 11

No

Question 12

And insured has an HO – three. If I or damages the association clubhouse which results in $700 assessment against the insured, her HO–3 will?

Answer 12

Pay the full amount

Question 13

Lightning kills a tree on insureds premises. How was the tree be covered under homeowners policy?

Answer 13

Homeowners policy does not cover more than $500 per tree

Question 14

Maryann just met there buying a home under contract, paying rent until they acquire the title. Are they eligible for homeowners policy?

Answer 14

Yes, if other eligibility requirements are met

Question 15

Chuck Jones Cole owns a two family dwelling with Chuck’s cousin. How was their homeowners insurance be issued?

Answer 15

Use HO2 or HO3 on one and H04 on the other

Question 16

The homeowners coverage that covers detached structure jurors such as garage guesthouse fence or storage building is called

Answer 16

Other structures

Question 17

What are the basic limits under section two of a HO Policy

Answer 17

$100,000 per occurrence/$1000

Question 18

What special limit under HO policies can NOT be increased?

Answer 18

Silverware and Goldware from $2500 to $25000

Question 19

What is the theft limit under H08

Answer 19

$1000

Question 20

The basic limits for loss assessment in HO section 1 and section 2 are:

Answer 20

$1000 each

Question 21

Can firearms special limits be increased from $2500 to $10,000?

Answer 21

No. However several other special limits can be increased

Question 22

can new homes under construction be eligible for homeowners insurance

Answer 22

Yes, if otherwise eligible

Question 23

a corporation owns a dwelling for entertaining clients. Is BMB eligible for homeowners insurance on this dwelling?

Answer 23

No. Corporations are not eligible

Question 24

Mr Ryan rinses condo to his girlfriend. Is he eligible for homeowners insurance on the condo?

Answer 24

Yes, if otherwise eligible

Question 25

Insured under an H03 has invited a client to play golf while they discuss a major sale insured hopes to make to the client. Insured, making a practice swing breaks clients leg. Client sues. Judgment is $75,000. Defense cost $35,000. H03 has basic limit of section 2. Policy will pay

Answer 25

$110,000

Question 26

Insured Has H03 standard adoptable $100,000 coverage A. Fire department has to come into rural area to put out fire at insureds home. The bell insured $975 because fire was outside their district. His policy will pay:

Answer 26

$500

Question 27

H06 insurance is worry about assessments by his association. He can increased loss assessment coverage to:

Answer 27

Any Amount needed

Question 28

Is a 5 to 6 family dwelling eligible for a dwelling program?

Answer 28

No

Question 29

Which covered list did below is found in a DP three and not a DP one

Answer 29

Additional living expenses is not found in a DP one

Question 30

Items that are kept in the basement are ruined during the flood. Are they covered by a flood policy

Answer 30

No, unless they are property necessary for maintenance and service of the building

Question 31

VMM coverage in a DP three is suspended by how many days vacancy?

Answer 31

60 days

Question 32

Joe has a dwelling policy broad form with the coverage a limit of $100,000. He incurs a covered building loss which has an actual cash value of $30,000 and has a replacement cost of $40,000. If the value of his dwelling at the time of loss is $120,000, how much will he recovered ignoring the deductible?

Answer 32

$40,000

Question 33

Dwelling policy basic form to be characterized as

Answer 33

Limited named perils/ACV

Question 34

Under the dwelling policy basic form and insured has the dwelling insured for $80,000. There is also a detached garage. If both structures are totally destroyed by a covered peril, how much with the policy pay? The replacement cost of the dwelling is $78,000 and the detached garage is $10,000

Answer 34

$80,000

Question 35

Broad Form Dwelling Policies (dp2) limit coverage for shrubs trees and plants to:

Answer 35

$500 each/ additional insurance

Question 36

What is the standard deductible for hurricane in beach area?

Answer 36

Percentage of value of the property

Question 37

Standard deductible for DPs is:

Answer 37

$500 all parols except hurricane – $500 minimum – 2% to 10% maximum for hurricanes

Question 38

Eligible for flood insurance, a building must have all of the following:

Answer 38

Walls and roof 50% above ground being eligible community

Question 39

If the flood of a single premises is to be covered, the flood must inundate:

Answer 39

2 acres of land

Question 40

DeWelling form of flood coverage covers detached garage is:

Answer 40

For 10% of the dwelling amount within the dwelling limit

Question 41

The policy provision that gives the insured fit for any brought in coverage in a new form issued within 45 days of inception of the current policy at no premium increase is called:

Answer 41

Liberalization

Question 42

Flood coverage applies on an actual cash value basis unless:

Answer 42

Insured resides in residence at least 80% of the time

Question 43

What are the basic limits for personal liability

Answer 43

$100,000 liability/$1000 med pay