Unit 8 Quiz Flashcards
An individual who owns and lives in a condo can obtain broad coverage for personal property in the condo under which homeowners form?
HO-6
Which of the following can be insured under an unendorsed homeowners policy?
Private residence in which the insured resides and maintains an office for her accounting business.
The homeowners form that provides open-perils coverage on the dwelling and broad coverage on personal property is…
HO-3
Which of the following coverages is included in the homeowners policy but is not included in an unendorsed dwelling policy?
Liability & theft.
Open-perils coverage for both the dwelling and personal property is provided by…
HO-5
What endorsement is used to provide open-perils coverage on a specific expensive piece of personal property?
Special personal property
An insured’s home is covered by a DP-3. Two years ago, the insured bought the home for $58K. Today, it’s replacement value is $60K. What amount of Coverage A insurance does the insured need to purchase to qualify for replacement cost coverage?
$60K x 0.80 = $48K
Which of the following is NOT covered by an unendorsed dwelling policy?
Liability + theft
Which of the following perils is covered by the HO-2 and HO-3?
Sudden and accidental rupture of a heating system (Tearing Apart)
Assume the following items were stolen from the insured’s home. Which of these losses would be fully covered under Coverage C of the homeowners policy, assuming the loss was for the full value of the property described
A $2,000 laptop computer the insured uses for her in-home accounting business.
Carl’s home sustains $50K damage in an electrical fire. The home is insured under the Ho-2 policy for $75K. At the time of the loss, the home’s replacement cost = $125K. How much insurance should Carl have had on his dwelling to allow the insurance company to pay the partial loss in full?
$125K + 0.80 = $100K
Which of these homeowners endorsements is used to schedule separate coverage for 1 or more of the 9 categories of personal property?
Scheduled personal property
A basic dwelling policy may provide coverage against all of the following EXCEPT…
Water
All of the following perils are automatically covered under the DP-3 policy EXCEPT…
Theft
Which of the following claims would be handled by Coverage F of the homeowners policy?
Medical expenses incurred by a houseguest who slipped and fell on premises.
