Dwelling Policy (DP)
Damage to awnings from weight of snow
A DP-2 policy DOES NOT cover
The fencing and the furniture
A windstorm causes damage on a property covered by a DP-2 form. There is downed fencing, some furniture in the dwelling gets water damage from rain water that entered through a hole in the wind-damaged roof, and a tree is blown down. Aside from the damaged roof, what, if anything, is covered?
fence is covered under Coverage B and the furniture is covered under Coverage C. Trees and plants are not covered for wind damage.
A windstorm causes damage on a property covered by a DP-2 form. There is downed fencing, some furniture in the dwelling gets water damage from rain water that entered through a hole in the wind-damaged roof, and a tree is blown down. Aside from the damaged roof, what, if anything, is covered? The fencing and the furniture There is no coverage for a wind loss under a DP-2 The fencing, the furniture, and the tree The fencing only
liability damages.
An unendorsed Dwelling Policy is intended to cover all of the following except:
Coverage C Personal property
Applies to household and personal property, usual and incidental to the occupance of the premises as a dwelling and owned by the insured or by members of the insured's family residing with the insured while it is on the described location.
Coverage C Personal property
Automatically applies to personal property the insured removes from the old location to the new location for 30 days or until policy expires.
Any property located on the insured premises
Coverage C Personal property
Elements attached to building Building materials/supplies Property that doesn't quality as real property Covered anywhere in the world 10% of coverage or $1,000 whichever is greater
Coverage C Personal property
Coverage F Medical payments
Coverage for medical expenses or third parties that are injured on your property
Coverage is provided on the dwelling and any structure attached to the dwelling.
DESCRIBE DWELLING FORM DIRECT LOSS COVERAGE A.
Other Structures 10% of Coverage A
DESCRIBE DWELLING FORM DIRECT LOSS COVERAGE B.
will pay the rental value minus expenses which do not continue (gas & electricity)
DESCRIBE DWELLING FORM INDIRECT LOSS COVERAGE D Fair Rental Value
Additional Living Expense
DESCRIBE DWELLING FORM INDIRECT LOSS COVERAGE E.
Yes but only 10% of the limit for Coverage C
DOES COVERAGE C PROVIDE COVERAGE FOR PERSONAL PROPERTY OFF PREMISES?
Named peril coverage Covers only fire, lightning internal explosions
DP-1 Basic Form
Named peril coverage Covers only fire, lighting and internal explosion
DP-1 Basic form
All DP-1 and extended coverage perils
DP-2 Broad form
Open peril coverage to structures Personal Property Same as DP-2
DP-3 Special Form
DP-1 which pays all losses on ACV
DWELLING FORM DIRECT LOSS COVERAGE A INSURES BASED ON REPLACEMENT COST EXCEPT:
Coverage B Other structures
Designed for detached structures including: Garages, Gazebos, fences, mailboxes, lampposts, sheds usually additional insurance Pays in addition to the limit Coverage A for 10%
Duplex rented to others low value home Home with low balance mortgage Hunting cabin
Examples of Dwellings covered
20% Coverage A limit
FORMS DP-2 & DP-3 COMBINE THE FAIR RENTAL VALUE AND ADDITIONAL LIVING EXPENSE COVERAGE FOR UP TO _____ OF THE ______ WITHOUT ADDITIONAL CHARGE.
Coverage D Fair rental value
For indirect losses that result from direct losses
Coverage E Additional living expenses
For the INCREASE in the insured's living expenses when a covered peril makes the dwelling uninhabitable Maintain;s insured's normal standard of living Does NOT include mortgage payments
ACV
HOW ARE COVERAGE A LOSSES PAID UNDER DP1?
REPLACEMENT COST
HOW ARE COVERAGE A LOSSES PAID UNDER DP2 & DP3?
10% OF COVERAGE A
HOW MUCH COVERAGE APPLIES TO COVERAGE B FOR DP1?
20% OF COVERAGE A
HOW MUCH COVERAGE APPLIES TO COVERAGE D UNDER DP1?
Dwelling
Homeowners Coverage A covers your ____.
Personal Property
Homeowners Coverage C covers your stuff, which is called _____.
Loss Of Use, Additional Living Expenses
Homeowners Coverage D covers your ____ of your dwelling following a covered loss, which is also called _____.
Coverage A Dwelling
House, apartment or other residence Structures attached to dwelling Items that service the dwelling (AC Compressor, Fuel tanks) Under HO-6 (Condo Form): Alterations, Appliances, fixtures, improvements to buildings
structures attached to the dwelling.
In a Dwelling policy, Coverage A provides protection for:
Coverage E Additional Living Expenses
In a dwelling policy which of the following provides coverage for additional living expenses incurred by an owner occupant in the event a covered peril makes the premises uninhabitable due to a covered loss?
loss of rental income after damage to a rental unit has been fixed, but no new renter has been found.
In a homeowners policy, Coverage D - Loss of Use will NOT cover:
DP-3
In which of the following DP forms is the dwelling covered under open perils and the personal property on a named peril basis
ACV, Replacement Cost
Loss Settlement under Coverage C is on an ___ basis unless the coverage is upgraded to _____ by endorsement for a higher premium.
Coverage D-Fair Rental Value Coverage E-Additional Living Expense
NAME THE 2 INDIRECT LOSS COVERAGES.
DP-1 Basic Form DP-2 Broad Form DP-3 Special Form
Name the Dwelling forms
Coverage A Dwelling Coverage B Other structures Coverage C Personal property
Name the three direct loss coverages
Coverage D Fair Rental Value
Pays for rental income lost due to damage by an insured peril, such as fire Accounts for net loss, not for discontinued utilities Applies for the shortest time it takes repairs to be completed
Coverage A Dwelling
Principal dwelling Attached structures: garages, apartments, etc. service machinery: furnace, A/C COMPRESSOR ETC. Building materials next to dwelling
Coverage C Exclusions
Specifically EXCLUDES: Animals, Vehicles, Aircraft, Boats, paper and electronic data, credit and debit cards, money, grave markers, water and steam
Coverage C Personal property
Specifically EXCLUDES: Animals, Vehicles, Aircraft, Boats, paper and electronic data, credit and debit cards, money, grave markers, water and steam May use 10% of converage C limit of insurance for loss caused by an insured peril to coverd property.
Coverage B Exclusions
Specifically EXCLUDES: Buildings used for business or farming (unless used only for storing equipment) Buildings rented to someone who is not a tenant of principal dwelling gravestones, plots, masoleums
Coverage B Other Structures
Structures that are NOT attached to the dwelling.Detached garage, carport, shed, gazebo, fence, mailbox, lamppost Does not apply to land, however it is permissible for the insrurer to rent a private garage to another for garage purposes. limt: 10% of coverage A limit
Grave markers and mausoleums.
TO WHAT DOES COVERAGE B NOT APPLY?
10% of Coverage A.
The limit of liability for Coverage B - Other Structures is typically:
Coverage E Additional living expenses
This Coverage is automatically included in DP-2 and DP-3
Coverage B Other Structures
Under DP-1, 10% is included as part of Coverage A limit
Coverage F Medical payments to other
Unscheduled Farm Personal Property Coverage?
10% of Coverage A
WHAT DOES COVERAGE B MEAN FOR DP-2 & DP-3 FORMS?
If the insured has a detached structure the 10% of Coverage A is included in the dwelling limit and is not an additional separate coverage limit.
WHAT DOES COVERAGE B MEAN FOR THE DP-1 FORM?
20% of Coverage A
WHAT IS THE FAIR RENTAL VALUE LIMIT UNDER THE DP-1 FORM?
Pets, Motor vehicles, Aircraft and hovercraft, and credit cards
What are excluded from Coverage C
Construction tools Damage to land itself
What is NOT included under Coverage A- Dwelling
Personal Property
What is a Coverage C?
Loss of use
What is a Coverage D?
House, apartment or other place of residence
What is a dwelling?
lightning strike
What loss is NOT excluded from the DP-1 basic policy for EXCEPT
Coverage C Personal property
What property coverage would provide protection to contents damaged by fire?
Named Perils
What type of policy BEST describes the DP-2 Broad form policy?
Single family homes 1-4 unit dwellings (duplexes, four- plexus) Dwellings w/ no more than 5 occupants Mobile homes if permanently installed Incidental business risk
What types of property are covered under Dwelling policy
DP3 provides open-peril coverage for the property's structures, and named-peril coverage for personal property
Which Dwelling policy form provides open-peril coverage?
indirect losses that result from direct losses
Which Property is covered under Coverage D- Fair rental value
indirect losses that result from direct losses
Which Property is covered under Coverage D- Loss of use
Coverage E Additional Living Expenses
Which coverage Pays additional living expenses incurred following a covered loss.
DP-2 and DP-3
Which dwelling policies insures a structure on an actual cash value basis
Electronic equipment installed in the auto
Which of the following are covered under Part D - coverage for damage to your auto of the personal auto policy?
Structures other than the dwelling
Which of the following does Homeowners Special form (HO-3) cover that Homeowners Broad form (HO-2) does not?
structures other than the dwelling
Which of the following does Homeowners Special form (HO-3) cover that Homeowners Broad form (HO-2) does not?
Damage by ice to outdoor radio and television antennas
Which of the following is EXCLUDED as a covered loss under the DP-3 coverage?
coverage B Other Structures
Which of the following would provide coverage to a garage not attached to the primary insured dwelling
Coverage F
Which part of a homeowners policy provides coverage for the medical expenses of third parties who are injured on your property?
Debris Removal and Reasonable Repairs
While reviewing his DP-3 policy, Jim notices that some additional coverages are included in his Coverage A limit, while others are paid in addition to that limit. Which TWO additional coverages are included within Jim's Coverage A limit?
scheduled personal property endorsement
endorsements used to insure Coverage C (personal property) for values beyond the limitations of the homeowners policy
Coverage C Personal Property
primary coverage amount of insurance for the HO-4
