Insurance Chapter 4 Dwelling Policy

Under a dwelling policy, an insured tenant may use up to what percentage of the Coverage C limit of insurance for a covered loss to improvements, alterations, and additions made at the insured's expense to that part of the described location occupied by the named insured?

A: 5% B: 0% C: 20% D: 10% D

Which form would not insure against external explosion?

A: Unendorsed DP-1 B: DP-2 C: Endorsed DP-1 D: DP-3 A

An insured looking to cover the dwelling against an intentional loss would need to purchase which dwelling form?

No dwelling form offers this coverage

All of the following perils are included under the Dwelling Broad Form, except:

A: Falling Objects B: Burglary Damage C: Smoke damage from industrial operations D: Volcanic Eruption C

All of the following are true regarding Dwelling policy eligibility, except:

A: Farm dwellings are not eligible B: Mobile homes are eligible if written on a DP-1 C: The dwelling must be used for seasonal or secondary purposes D: Some incidental business occupancies are permitted C

The Basic (DP-1) Dwelling Form does not include which coverage?

A: Worldwide coverage on personal property with a limit up to 10% of Coverage C B: Fair rental value C: Property removed to a newly acquired residence for 30 days or policy expiration, which ever occurs sooner D: Additional living expenses D

Under the Dwelling policy, which is correct regarding coverage of trees, shrubs or plants?

A: The Limit of Liability is $1,000 for any tree, shrub, or plant B: All vehicle damage to trees, shrubs, or plants is covered C: Damage by wind, hail, weight of ice, snow or sleet is not covered D: Theft of shrubs and plants is covered C

Which of the following is true regarding the Personal Liability Supplement?

A: The Limit of Liability is the same as the Coverage A amount B: It covers the insured's personal autos C: It covers Professional Services rendered by the insured D: It provides coverage for claim expenses, first aid expenses and damage to property of others D

Under the property removed coverage extension of a Dwelling Policy, which of the following is incorrect?

A: The extension does not change the Limit of Liability that applies to the property B: Coverage applies up to 5 days under the DP-1, and up to 30 days in the DP-2 and DP-3 forms C: The policy will not provide any coverage while insured property is being removed from endangered property D: The property is covered against direct loss from any peril C

Which of the following is true regarding Coverage A under the Dwelling Policy?

A: The policy does not include coverage for wind loss of television antennas B: Outdoor equipment is not covered C: Coverage A includes a detached carport D: Coverage for land is restricted to the land upon which the dwelling is sitting A

Which of the following claims would be covered under the DP-3?

A: Theft to a dwelling under construction B: Damage to a fence due to freezing and thawing of ice due to a winter storm C: Damage by vandalism to a dwelling vacant for 30 days before the loss D: Wind damage to TV antennas C

All of the following are covered perils under the Extended Coverage Endorsement to the DP-1, except:

A: Vehicles B: Volcanic eruption C: Windstorm D: Weight of ice, snow or sleet D

Which statement concerning the Dwelling Special Form is true?

A Contents are provided Open Perils coverage on a Replacement Cost basis B The Dwelling and other structures are provided Open Perils coverage on a Replacement Cost basis C Coverages A through D are provided Open Perils coverage on an Actual Cash Value basis D Contents are provided Open Perils coverage on an Actual Cash Value basis B

The abrupt falling down or caving in of a building disallowing it to be used for its intended purpose is the definition of:

A: Collapse B: Settling C: Earth movement D: Defective planning A

Of the Dwelling Policy forms, which one would cover an owned mobile home permanently affixed to a foundation?

A:DP-1, 2, or 3 B: DP-3 C: DP-2 D: DP-1 D

Coverage B of a dwelling policy will not apply to a detached garage if which of the following is being stored?

A: Ski equipment owned by the insured's 18 year old son B: A broken down farm tractor belonging to the tenant C: A tenant's lawnmower with a full tank of gas D: A helium tank used for the insured's business D

All of the following are eligible for coverage under the Dwelling Program, except:

A: A single-family home in the suburbs B: A vacation home used as a secondary residence C: A beauty shop with a small bedroom attached D: A duplex C

Which of the following coverages is not included in the Basic Dwelling Form?

A: Additional Living Expenses B: Personal Property Coverage on a World-Wide basis C: Fair Rental Value D: Property moved to a Newly Acquired Residence A

Damaged household and personal property in transit between the insured's old and new residences is covered by the Dwelling Policy under:

A: Coverage A B: Coverage B C: Coverage C D: Coverage D C

Which is true regarding Dwelling policies?

A: Coverage C applies while insured property is located at the described location B: Coverage B would cover an attached garage C: Coverage D is considered a direct loss coverage D: Coverage C includes coverage for personal property of tenants and boarders A

The Dwelling Broad Form (DP-2) insures against all of the following perils, except:

A: Damage caused by burglars B: Theft C: Accidental discharge or overflow D: Breakage of glass that is a part of a building, storm door or window B

The Personal Liability endorsement does not provide coverage for which of the following?

A: Defense costs B: First aid expenses C: Medical payments to others D: Injury caused to a regular resident of the dwelling D

Which of the following properties is ineligible to be insured under a Dwelling Policy?

A: Dwellings containing three apartment units B: Mobile homes C: Dwellings with any type of business in them D: Farms D

Which of the following is not covered under the Dwelling Broad Form (DP-2)?

A: Theft B: Accidental discharge C: Artificial electric current D: Falling objects A

Under the Dwelling Broad Form, losses to an unattached garage are paid on which basis?

Replacement Cost