Standard Fire Policy & Dwelling Policy

Question 1

Standard Fire Policy (SFP) Date Introduced and Location

Answer 1

New York in 1873

Question 2

When did NC adopt the SFP

Answer 2

1943

Question 3

What type of policy is the SFP

Answer 3

Named Perils

Question 4

What are the 3 named perils of the SFP

Answer 4

1. Fire
2. Lighting
3. Removal

Question 5

WCSHAVER

Answer 5

Wind
Civil Commotion
Smoke
Hail
Aircraft
Vehicles
Explosion
Riot

Question 6

Vandalism and Malicious Mischief (VMM)

Answer 6

covers losses caused by the willful and malicious damage or destruction to insured property. NOT GLASS OR THEFT

Question 7

SFP Inception and Expiration

Answer 7

12:01a.m.

Question 8

Pro Rata Liability

Answer 8

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.

Question 9

Requirements in the event of a loss SFP

Answer 9

(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.

Question 10

The insurance company must settle the claim within (__) days after submission of the proof of loss from the insured.

Answer 10

60

Question 11

The insured has up to three (__) years to bring a lawsuit against the insurance company after meeting the requirements of filing a claim.

Answer 11

3

Question 12

Abandonment Clause

Answer 12

insured cannot abandon property to the insurer and ask the insurance company to pay for the loss.

Question 13

If the insured cancels the Standard Fire Policy (SFP), any premiums paid in advance will be returned on a _____basis.

Answer 13

Short-Rate

Question 14

Dwelling Policy (DP)

Answer 14

insure residences that are not owner-occupied, but instead are used as rental properties.

Question 15

Monoline policy

Answer 15

covering only property losses

Question 16

Dwelling Policies are designed for properties that have no more than (__) apartment units and no more than (___) roomers or boarders per apartment unit.

Answer 16

4

5

Question 17

Dwelling Policy Forms Deductibles

Answer 17

$250

Question 18

D Coverage A

Answer 18

Dwellings
-residence premises
- including structures attached to the dwelling
- building and outdoor equipment used to service the Described Location.

Question 19

D Coverage B

Answer 19

Other Structures

Question 20

D Coverage C

Answer 20

Personal Property

Question 21

D Coverage D

Answer 21

Fair Rental Value

Question 22

Coverage E

Answer 22

Additional Living Expense

Question 23

Broad Theft Form

Answer 23

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.

Question 24

Limited Theft Form

Answer 24

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.

Question 25

% allowed for Other Structures

Answer 25

10% of Coverage A

Question 26

% allowed for Improvements, Alterations and Additions

Answer 26

10% Coverage C

Question 27

% allowed for World-Wide Coverage

Answer 27

10% Coverage C

Question 28

% allowed for Rental Value And Additional Living Expense (DP-2 and DP-3)

Answer 28

20% Coverage A

Question 29

% allowed for Rental Value (DP-1)

Answer 29

20% of the Coverage A (1/12 each month)

Question 30

Fire Department Service Charge

Answer 30

$500

Question 31

Trees, Shrubs, and Other Plants

Answer 31

5% ($500 for one tree)

Question 32

Loss Settlement (DP-1)

Answer 32

actual cash value (ACV) at the time of loss

Question 33

Loss Settlement (DP-2 and DP-3)

Answer 33

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.

Question 34

Suit Against Us

Answer 34

started within two (2) years after the date of loss.

Question 35

Loss will be payable (__) days after the insurer receives the proof of loss and reach an agreement with the insured.

Answer 35

60

Question 36

Cancellation: When the insured has not paid the required premium

Answer 36

10 Days

Question 37

Cancellation: When the policy has been in effect for less than sixty (60) days and is not a renewal

Answer 37

10 Days

Question 38

Cancellation: When the policy has been in effect for (60) days and is not a renewal

Answer 38

30 Days

Question 39

of Apt Units in a Dwelling

Answer 39

4

Question 40

of Roomers/Boarders allowed in Apt

Answer 40

5