Homeowners Policy Forms

Question 0

What are the general eligibility requirements for a homeowners policy

Answer 0

• Residential purpose with up to 4 family units
• Owners occupied (EXCEPT renters policy)
• Homes currently under construction only if the intent is to occupy the home after completion

Question 1

What are the components of a homeowners policy

Answer 1

Section I: Property
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Section II: Liability 
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Package Protection

Question 2

What are ineligible risks for a homeowners policy covered with other forms?

Answer 2

• Farms: farm owners policy
• Manufactured housing
• Not owner occupied: dwelling policy (rental or vacant dwelling)

Question 3

HO- 2

Answer 3

Broad form

- Named peril coverage on Coverage A, B, C

Question 4

HO-3

Answer 4

Special form

• Open peril on all real property (Coverage A&B)
• Named peril coverage on personal property (Coverage C)

Question 5

HO-4 Tenant’s or renter’s form

Answer 5

• Renter of single-family home, condo, apartment, or mobile home
• Coverage for personal property, loss of use, and liability

Question 6

HO-5 Comprehensive form

Answer 6

• Open peril on dwelling, other structures, and personal property

Question 7

HO-6 Condominium unit owners form

Answer 7

• Similar to HO-4: content is primary coverage need

- Named peril coverage (broad form) Coverage A,C

Question 8

HO-8 modified for

Answer 8

Named peril coverage

• Losses settled on ACV basis
• Older homes where replacement cost far exceeds market value- unusual construction

Question 9

What coverages are included in Section I: Property Coverage

Answer 9

C-A: Dwelling protection
C-B: other structures 10% of A
C-C: contents/personal property 50% of A (unscheduled)
C-D: additional living expenses

Question 10

Coverage C special Limits

Answer 10

• Money, gold, and silver
• securities, manuscripts, valuable papers
• Watercraft’s, including trailers and equipment, other trailers
• Business property on or off the premises
• personal electronics in a vehicle
• Theft of: jewelry, watches, precious stones, fur, silverware and gold, and firearms

Question 11

Coverage C exclusions for Homeowners policies

Answer 11

• Property insured elsewhere
• Animals, birds, and fish
• Motor vehicles and aircrafts
• Property of roofers and boarders
• Property rented to others

Question 12

Additional property coverages

Answer 12

• debris removal
• removal of trees (due to damage)
• reasonable repairs
• property removed
• replacement of trees, plants, shrubs
• $1k limit for loss assessment- loss to property jointly owned by assoc.
• fire department charge $500 per service call
• glass or safety glazing material
• credit card, forgery, and counterfeit money $500 max coverages

Question 13

What are the additional property coverages found on HO-2,3,4,5,6

Answer 13

• Collapse
• Ordinance or law
• Grave markers

Question 14

Additional coverages for HO- 2,3,5

Answer 14

Landlords furnishings

Question 15

Additional property coverages on HO-4

Answer 15

Building additions and alterations

Question 16

Which coverages are under Section II: Liability

Answer 16

Coverage E- Personal liability

Coverage F- Medical payments to others

Question 17

Coverage E- Personal Liability

Answer 17

• Bodily injury and property damage caused by the insureds personal, nonbusiness activity (injuries on or off premises due to insured negligence, dog bites)
• Insured must be legally liable for coverage to apply
• $100,000 or higher limits selected

Question 18

Coverage F- Medical payments to others

Answer 18

Pays necessary medical expenses incurred within three years of the date of accident

• paid without regard to fault- $1,000per person (can be increased)
• AKA guest medical coverage

Question 19

Section II: standard exclusions

Answer 19

• Intentional loss (<13 y/o incapable of understanding consequences)
• Property owned by insured
• War or acts of war
• Liability assumed through a contract
• Duplicate coverage (workers comp, auto,aircraft, snowmobile, watercraft policies)
• Business activities (excludes when injury or damage occurs as a result of business activities)