Standard Fire Policy & Dwelling Policy Flashcards
Standard Fire Policy (SFP) Date Introduced and Location
New York in 1873
When did NC adopt the SFP
1943
What type of policy is the SFP
Named Perils
What are the 3 named perils of the SFP
- Fire
- Lighting
- Removal
WCSHAVER
Wind
Civil Commotion
Smoke
Hail
Aircraft
Vehicles
Explosion
Riot
Vandalism and Malicious Mischief (VMM)
covers losses caused by the willful and malicious damage or destruction to insured property. NOT GLASS OR THEFT
SFP Inception and Expiration
12:01a.m.
Pro Rata Liability
If there are two (2) or more insurance policies covering the same risk, the Pro Rata liability clause obligates each insurance company to pay claims based on the percentage of coverage carried in each policy.
Requirements in the event of a loss SFP
(a) Promptly notify the insurance company of the loss;
(b) Protect the property from further damage, including separating damaged from undamaged property;
(c) Allow the insurance company to inspect the property;
(d) Supply the insurance company with a complete inventory indicating which goods are damaged or destroyed within sixty (60) days of the loss; and
(e) Cooperate with the insurance company investigating the loss and if requested, testify under oath regarding the loss.
The insurance company must settle the claim within (__) days after submission of the proof of loss from the insured.
60
The insured has up to three (__) years to bring a lawsuit against the insurance company after meeting the requirements of filing a claim.
3
Abandonment Clause
insured cannot abandon property to the insurer and ask the insurance company to pay for the loss.
If the insured cancels the Standard Fire Policy (SFP), any premiums paid in advance will be returned on a _____basis.
Short-Rate
Dwelling Policy (DP)
insure residences that are not owner-occupied, but instead are used as rental properties.
Monoline policy
covering only property losses
Dwelling Policies are designed for properties that have no more than (__) apartment units and no more than (___) roomers or boarders per apartment unit.
4
5
Dwelling Policy Forms Deductibles
$250
D Coverage A
Dwellings
-residence premises
- including structures attached to the dwelling
- building and outdoor equipment used to service the Described Location.
D Coverage B
Other Structures
D Coverage C
Personal Property
D Coverage D
Fair Rental Value
Coverage E
Additional Living Expense
Broad Theft Form
Is only available for an owner-occupied dwelling. The coverage is on an all risk of perils basis. Coverage is available for on and off premises.
Limited Theft Form
Properties NOT owner occupied. The perils covered are the same as those in the Broad Theft Form, but coverage is only for on-premises exposures.
% allowed for Other Structures
10% of Coverage A
% allowed for Improvements, Alterations and Additions
10% Coverage C
% allowed for World-Wide Coverage
10% Coverage C
% allowed for Rental Value And Additional Living Expense (DP-2 and DP-3)
20% Coverage A
% allowed for Rental Value (DP-1)
20% of the Coverage A (1/12 each month)
Fire Department Service Charge
$500
Trees, Shrubs, and Other Plants
5% ($500 for one tree)
Loss Settlement (DP-1)
actual cash value (ACV) at the time of loss
Loss Settlement (DP-2 and DP-3)
Buildings under Coverage A or B are settled at replacement cost without deduction for depreciation, subject to the following: If, at the time of loss, the amount of insurance in the policy on the damaged building is 80% or more of the full replacement cost of the building immediately before the loss.
Suit Against Us
started within two (2) years after the date of loss.
Loss will be payable (__) days after the insurer receives the proof of loss and reach an agreement with the insured.
60
Cancellation: When the insured has not paid the required premium
10 Days
Cancellation: When the policy has been in effect for less than sixty (60) days and is not a renewal
10 Days
Cancellation: When the policy has been in effect for (60) days and is not a renewal
30 Days
of Apt Units in a Dwelling
4
of Roomers/Boarders allowed in Apt
5
