Property Policies Flashcards
What HO form covers Condominium unit owners?
HO-6 (Condominium unit owners)
Under what conditions can broad theft coverage be added to a dwelling policy?
If the insured is the owner-occupant of the dwelling
What are the major coverages included in a HO policy?
Coverage A- Dwelling
Coverage B- Other Structures
Coverage C- Personal Property
Coverage D- Loss of Use
What does form HO-5 cover?
The dwelling and other structures, as well as contents and personal property
What are the 2 liability coverages included in HO policy forms?
Coverage E- Personal Liability
Coverage F- Medical Payments to others
In general, what do HO policies cover?
Dwellings used primarily as private residences
What type of coverage is included in HO policies, but is not available in DP?
Liability Coverage
When would theft of property of guests and residence employees be covered under the HO-8 form?
Only while on the insured premises
What are 2 types of Utility Services endorsements available in Businessowners policies?
Utility Services - Direct Damage
Utility Services - Time Element
What do dwelling policies insure?
Dwelling only, contents only or both dwelling and contents
Under Coverage C - Personal Property in the dwelling policy, when will a guest’s property be covered?
Only when the property is at the insured location
An insured’s house becomes uninhabitable due to damage 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
What are some of the exclusions found in all 3 dwelling forms?
Earth movement, water damage, power failure, neglect, war, nuclear hazard, intentional loss, freezing of plumbing, ordinance or law, and government action
What are the 5 coverages of dwelling policies?
Coverage A - Dwelling, Coverage B - Other structures, Coverage C - Personal property, Coverage
D - Fair rental value, and Coverage E - Additional living expenses
When a dwelling policy is cancelled for nonpayment of premium, the insurer must give notice within how many days of the cancellation?
10 days
What is the purpose of the National Flood Insurance Program (NFIP)?
To fill the gap in flood coverage left by private insurers
Under Coverage C of an HO-3 policy, what is the amount of insurance provided for personal property?
At least 50% of the Coverage A limit (this applies to all policies except for HO-4 and HO-6)
Commercial property coverage can be written with one of three causes of loss forms. What are they?
Basic, Broad, and Special
What is the name for policy endorsements that may apply to more than one coverage part?
Interline endorsements
in Commercial Inland Marine policies, who transports the property of anyone who hires them?
Common carriers
Where can National Flood Insurance be issued?
Only in participating. flood prone areas
What are additional coverages available in Homeowners policies without additional premiums?
(name several)
Debris removal. lawns/plants/shrubs, and trees, removal, reasonable repairs, and fire department service charge
What are some of the exclusions from coverage in all of the Homeowners forms?
Land, structures used for business purposes, animals/birds/fish, aircraft, rented property, electronic data, and motor vehicles
What components make up a Commercial Policy?
Policy cover; policy declarations; interlines endorsements; lines of insurance declaration pages; lines of insurance coverage forms; common policy conditions; lines of insurance conditions; causes of loss forms; and endorsements
When can an insured cancel a Businessowners policy?
At any time by mailing a written notice of cancellation
What type of property would be covered under the Builder’s Risk Coverage Form?
The building, temporary structures, foundations, fixtures, equipment, and materials and supplies within 100 feet of the premises
How is the coverage usually written for HO-8 forms?
For the market value of the property
What are the coverage parts that may be included in a Commercial Package Policy (CPPY?
Commercial property, general liability, crime, equipment breakdown, auto, inland marine, and farm
How are the dwelling and other structures covered in an HO-3 policy form?
On an open peril basis
What would be considered a single accident in Equipment Breakdown coverage?
All accidents at a single location, at the same time, by the same cause
What is the purpose of interline endorsements in Commercial Package Policies (CPPs)?
They eliminate redundancy and minimize the number of other policy endorsements.
What type of property can be covered under Inland Marine insurance?
Any type of property that is portable on land, as well as means of transportation and communication
What type of policy is a Businessowners policy?
Prepackaged, stand-alone policy
