P&C Homeowners (HO) Policies- Xcel chapter 6

Bob's HO-3 homeowners policy covers the dwelling for $100,000. He suffers a flood loss in the amount of $7,000. The policy includes a $250 deductible. How much will the policy pay?

$0

A married couple owns a single family dwelling covered by a homeowners policy special form with replacement cost coverage equaling $150,000. If their detached garage is a total loss, how much will the homeowners policy pay?

$15,000

Bob is covered by an unendorsed HO-3 Homeowners (HO) Policy and is insured to value. The covered dwelling has a replacement value of $200,000 and Bob carries $160,000 of coverage. If a fire causes &27,000 of damage, how much will the policy pay?

$27,000 less any deductible

A house's replacement value is $100,000. Under a homeowners policy, what would the minimum limit of insurance need to have replacement cost apply automatically?

$80,000

Contents under a homeowners policy are covered anywhere in the world unless they are regularly or permanently located in another residence. If so, what is the limit of coverage on those items regularly off the premises?

10% of the Coverage C limit

An HO-3 homeowners policy provides coverage for property removed from a dwelling to protect it from damage for what period of time?

30 days

which of the following would not be covered under contents coverage C of a homeowners policy?

4 wheel ATV

An unendorsed homeowners policy will not cover loss as a result of vandalism or malicious mischief if the dwelling has been vacant for more than how many consecutive days immediately prior to the loss?

60

Coverage A in a homeowners policy will pay replacement costs of a dwelling if the home is insured for at least what percentage of its value

80%

Which one of the following is eligible property for a homeowners (HO) policy

A duplex

Which of the following persons is considered to be an insured under a homeowners policy?

A neighbor who is walking the insured's German shepherd since the owner of the dog is ill

which type of coverage is not provided under an unendorsed Homeowners policy HO-06 condo owners form?

Appurtenant structures (coverage B)

Which portion of the homeowners policy provides liability coverage for bodily injury or property damage?

Coverage E

An HO-3 policy is an open peril Homeowners (HO) policy. However, the personal property of an insured is covered on a broad form peril basis. All of the following losses will be covered by this policy EXCEPT:

Damage to an insured's vehicle caused by fire

An HO-3 policy is an open peril Homeowners policy. However, the personal property of an insured is covered on a broad form peril basis. All of the following losses will be covered by this policy, EXCEPT:

Damage to an insured's vehicle caused by fire

Which of the following perils are covered by both HO-3 & HO-5 homeowners policies?

Earth movement caused by an explosion

Which unendorsed Homeowners (HO) policy is the only one that provides open perils coverage for personal property?

HO-05

What homeowners policy form provides all risk coverage to cover a detached garage?

HO-3

Which of the following homeowners policy provides all-risk coverage on real property and named peril protection on personal property?

HO-3

Which of the following Homeowners (HO) policy provides open-peril coverage on unscheduled personal property?

HO-5

Besides premium, the biggest difference in coverage between an HO-3 and HO-5 policy is

HO-5 policies are open peril coverage on contents and HO-3 policies do not

Which standard form of a homeowners policy was developed for use by condo owners?

HO-6

Leslie has a homeowners policy that covers both her home and her belongings inside the home. A windstorm rips a hole in the roof of her home. Leslie tells the insurance company right away, but does nothing else. Three nights later, rain coming in from the hole damages her furniture. Which of the following would be true of Leslie's claim of loss?

Her loss from the roof would be covered, but her loss of the furniture would not be

Which of these statements about coverage C of the HO policy is correct?

Property normally kept at a residence other than the residence premises is covered for 10% of the coverage C limit or $1,000, whichever is greater

In a homeowners policy, "we" and "us" refer to:

The insurance company

Which of the following situations would be covered under Coverage E- personal liability under a Homeowners policy?

The insured injures someone while operating a golf cart on the golf course

Which of the following would be considered by definition to be a residence premises under a Homeowners (HO) policy?

The insured's two unit dwelling unit that is listed in her policy in the declarations page

Which of the following would be true of a swimming pool on the premises of a residence that is insured under a homeowners policy?

The swimming pool would be covered under property coverage B

Woody set fire to his home in an attempt to collect cash from his homeowners policy, but his actions were discovered by his insurer. which of the following would be true in this scenario?

Woody would not collect from his property insurance policy, but the mortgage holder would

Which of the following is eligible property for an HO policy?

a duplex

Coverages A (dwelling) and B (other structures) of the HO-3 homeowners policy covers damage caused by:

a wild animal

Which type of coverage is not provided under an unendorsed Homeowners policy HO-06 condo owners form?

appurtenant structures (coverage B)

each of the following losses would be covered under open perils coverage under a homeowners policy, EXCEPT:

damage caused by steady and repeated seepage from water pipes

J owns an antique, historic home that has a custom, priceless stained-glass window that was created by Tiffany & co. One day, J's neighbor's daughter is practicing her fast pitch softball fastball in the back yard and the ball slips out of her hand goes right through the stained-glass window. Which of the following loss valuation will be applied for the stained-glass window under an HO-08 form?

functional replacement cost

Which peril on the HO policy is NOT an exclusion?

theft

Which peril on the HO-8 homeowners policy is NOT an exclusion?

theft

Your home is insured for $80,000 under an HO policy modified coverage form (HO-8). You have a partial loss totaling $25,000 to your dwelling. The loss would be payable as:

actual cash value less deductible

An HO-6 homeowners policy is available for the owners of condominium units. The policy provides coverage for unscheduled personal property, loss of use, and personal liability. This insurance contract also includes coverage A protection for:

additions and alterations to the interior of the unit

Max filed a claim on a lawnmower that was stolen from his garage, and the insurer paid Max $300 to replace it. Two months later, the police recovered the lawnmower and returned it to Max. According to the terms of the Homeowners policy regarding recovered property, what does Max now need to do?

either keep the lawnmower and return the $300 on the insurer, or return the lawnmower to the insurer and keep the $300

Each of the following is known as an additional coverage, a coverage automatically provided on a policy beyond the major categories of coverage, under a homeowners policy EXCEPT:

fire coverage

Which of the following would be covered under an unendorsed homeowners policy?

losses due to a lightning strike of the premises

All of the following types of losses are excluded by section 1 of a Homeowners (HO) policy EXCEPT:

personal property at an insureds residence other than the residence premises

A homeowners policy is considered a multi-line policy because it consists of both:

property and liability coverage

each of the following is a cause of loss form available for a homeowners (HO) policy except:

specific cause of loss form

Each of the following is a named peril on a homeowners (HO) policy basic cause of loss form, EXCEPT:

terrorist activity