Property insurance terms and related concepts

specific coverage

property insurance that provides $100,000 coverage for a building and $50,000 coverage for personal property at a single location is called

unoccupied

An insured relocated to another state for work. However, she still owns and insures a house in this state, but has had no one living in it for 3 months. she is also storing some furniture and clothes in the house. From an insurance stand point the insured's house is considered

it is imposed on defendants engaged in hazardous activities.

all of the following statements described the concept of strict liability EXCEPT

Full replacement of property at its current cost, new and without reduction for depreciation

replacement cost is defined as

Subrogation

The legal process that gives the insurer, after payment of a loss the right to seek recovery from a third party that was responsible for the loss is known as

vicarious liability

When a parent is required to pay for damaged caused by his or her children, this is an example of

$30,000

an insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay?

$50.000

if a liability policy had split limits of 50/100/30, what is the maximum amount that would be payable in the event of injury to a single person

encourage the insured the insure the property closer to its full value.

what is the purpose of the coinsurance clause found in property insurance policies?

absolute liability

what type of liability would a person who owns wild animals have?

negligence that leads to an injury

which of the following does the term proximate cause refer to

open peril policy

What type of insurance policy insures against all risks of loss that are not specifically excluded by the policy?

Agreed Value

Which of the following types of valuation works best for property whose value does not fluctuate much?

stated amount

a property insurance policy that is not subject to any coinsurance requirements but has set amount of insurance scheduled for the property would use what loss vacation method?

Restores an insured person to the same financial state as before the loss

in case of a loss, the indemnity provision in insurance policies

the failure to use reasonable and prudent care

negligence may be defined as

burglary

the crime of forced entry into the premises of another by a person of persons with felonious intent is defined as a

to pre-establish the amount of coverage available for property items that are difficult to value

which of he following best expresses the purpose of a stated value contract?

loss of use

which of the following coverages in dwelling homeowners policies is for indirect loses

A sudden, unplanned and unexpected event, not under the control of the insured, resulting in injury or damage neither expected not intended

which of the following definitions best defines the term "accident"?