Insurance- Property section 3B

A special limit on an HO policy applies to:
A: Cameras
B: Antiques
C: Stereos
D: Money

All HO policies that cover dwellings cover all of the following EXCEPT:
A: Liability
B: Theft
C: Medical payments
D: All-risk coverage

Coverage for real property on an HO-3 ('00) policy is:
A: Open perils
B: Actual cash value
C: Specified perils
D: Named perils

A personal articles floater provides coverage on what basis?
A: Stated amount
B: Valued
C: Replacement cost
D: Actual cash value

On an all-risk HO-3 ('00), which of the following is fully covered?
A: Dropping and breaking your $2,500 camera
B: Theft of your outboard motor from your boat at the marina
C: Your canoe is stolen from your unattached garage
D: Theft of your $2,500 Rolex

You negligently injure Jim while playing ball at the park. Section II of your HO ('00) will cover all of the following EXCEPT:
A: Cost of defense
B: Jim's bodily injury
C: Jim's loss of income
D: Your medical bills

Property of all of the following are covered by an HO policy EXCEPT:
A: Children away at college
B: Boarders
C: Guests
D: Relatives residing with the insured

On an HO policy, an endorsement may be added to cover personal injury liability, which covers all of the following EXCEPT:
A: Defamation
B: Libel
C: Bodily injury
D: Slander

You injure someone while playing ball at the park. Your HO liability will cover the injured party's:
A: Medical bills
B: Pain, suffering, and (if death occurs) funeral expenses
C: All would be covered if you were at-fault
D: Loss of income

Coverage F, medical payments, on an HO policy pays the injured party's expenses:
A: Indefinitely, as long as the policy is in force
B: Incurred within 1 year of the injury
C: Incurred within 2 years of the injury
D: Incurred within 3 years of the injury

All of the following distinguish the homeowners policy from the dwelling policy EXCEPT:
A: The homeowners policy covers personal liability and medical payments to others
B: Homeowners property coverages are in addition to one another
C: Homeowners Coverages A and C must be declared separately on the declarations page, and an extra premium paid
D: The homeowners policy covers theft of contents

Which of the following is a correct definition of coinsurance?
A: A clause that allows the insurer to take action against a third party for reimbursement of loss settlements made with the insured
B: A requirement that the insured carry insurance equal to a specified percentage of the property value, to be fully indemnified under the policy
C: Two or more buildings that are covered under a single policy
D: Two or more policies that apply to the same property

A fire totally destroys your home. Your HO-3 ('00) policy would cover all of the following EXCEPT:
A: Your motor vehicle in the garage
B: Your $2,500 Rolex
C: Your antique furniture
D: Your riding lawn mower in the garage

For nonpayment of premium, insurers must give at least _____ days advance written notice when canceling a DP or HO policy:
A: 60
B: 10
C: 30
D: 20

All are true about medical payments on a homeowners policy EXCEPT:
A: They are designed to prevent lawsuits
B: They will not be paid unless the insured is negligent
C: They are to others
D: They are no fault

On an HO, persons insured would include all of the following EXCEPT:
A: A legal representatives of a deceased named insured
B: An unrelated tenant living with you
C: Other persons under 21 in your care who live with you
D: Your relative living with you

Your HO policy covers liability for all of the following EXCEPT:
A: Loading or unloading of a motor vehicle
B: An off-road RV used on the premises
C: A golf cart while on the golf course
D: Outboard boats with 25 total hp or less

Which HO policy is considered the best and most popular?
A: HO-4
B: HO-3
C: HO-8
D: HO-2

All of the following are true regarding medical payments on an HO EXCEPT:
A: They are subject to a deductible
B: They are goodwill coverages
C: They are to others, not to the insured
D: They do not require negligence in order for coverage to apply

All are true about the cost of defense on a liability policy EXCEPT:
A: They are covered, even if the claim is groundless or excluded
B: The insurer has the option to select the lawyer
C: It is in addition to limits
D: It will no longer be paid once the policy limits have been paid out

On an HO-3 ('00), freezing of plumbing is:
A: Covered if an optional endorsement is purchased
B: Not covered if the building is unoccupied
C: Covered if reasonable care was used to maintain the heat in the building
D: Excluded

All of the following are true about personal articles floaters EXCEPT:
A: Appraisals are usually required
B: Coverage is provided on a blanket basis
C: Most are ACV
D: Coverage is all-risk

Conditions contained in an HO-3 policy require the insured, after a loss, to do all of the following EXCEPT:
A: Protect the property from further damage
B: Abandon the property to the insurer
C: Notify the police in case of loss by theft
D: Give prompt notice of the claim to the insurer or producer

You have an HO-3 policy on your dwelling that you are in the process of moving out of. How long are your contents that you move to your new residence automatically covered on your policy?
A: 30 days
B: 10 days
C: 60 days
D: 20 days

Fine arts floaters provide for payment of the full policy limit in the event of a total loss, regardless of the actual value of the property. This is called a(n):
A: Market value contract
B: Replacement cost contract
C: Valued contract
D: ACV contract

Coverages A and B on an HO policy are automatically adjusted at renewal to keep up with the increasing costs of construction. This is called:
A: Inflation guard endorsement
B: Automatic increase endorsement
C: Cost of living endorsement
D: Index endorsement

Your all-risk HO policy excludes all of the following EXCEPT:
A: Loss caused by vandalism of an unoccupied premise
B: Loss caused by enforcement of an ordinance or law except as provided as an additional coverage
C: Loss caused by earth movement
D: Loss caused by flood

On an HO-3, which of the following is covered without special endorsement?
A: Animal, birds or fish
B: Damage done to the insured's own property by his own dog
C: The land upon which the dwelling is situated
D: Jewelry, furs and firearms up to certain limits

Which of the following coverages is/are always included in Section I of all homeowners policies?
A: Both "Coverage C - personal property" and "Coverage D - loss of use"
B: Coverage C - personal property
C: Neither "Coverage C - personal property" nor "Coverage D - loss of use"
D: Coverage D - loss of use

On a mobile homeowners policy, Coverage D is how much?
A: 5% of C
B: 10% of A
C: 30% of C
D: 30% of A

The main difference between an HO-4 ('00) and other HO forms is the coverage for:
A: Medical to others
B: Real property
C: Personal property
D: Personal liability

On which type of policy is appraisal of the property not relevant?
A: Homeowners sold on a replacement cost basis
B: A fine arts floater insuring a painting
C: Auto physical damage
D: Dwelling fire sold on an ACV basis

An HO-3 policy provides which coverage for contents:
A: Broad form
B: Basic form
C: All-risk
D: Special form

Each of the following is true about homeowners personal property coverage EXCEPT:
A: Theft of personal property is covered
B: The full limit applies to personal property anywhere in the world
C: Special sub-limits apply to some types of personal property
D: Personal property of a guest may be covered

Which of the following is not eligible for coverage under an HO?
A: Farm residences
B: Condo unit owners
C: Mobile homes used as a permanent residence
D: Tenants living in apartments

Personal articles floaters are purchased for all of these EXCEPT:
A: Stamp collections
B: Jewelry
C: Loose gem stones
D: Musical instruments

Medical payments coverage on a homeowners policy covers:
A: Injury to the insured
B: Trespassers
C: Residence employee in the course of employment
D: Child away at college

Which of the following is not a special limit under Coverage C of an HO ('00) policy?
A: $1,500 on grave markers
B: $2,500 on theft of firearms
C: $1,500 on theft of jewelry
D: $1,500 on watercraft

All are excluded on the HO-3 EXCEPT:
A: Animals, birds and fish
B: Flood and sewer backup
C: Off premises power failure
D: Personal property away from the premises

An insured with an HO-2 rents his garage to his neighbor who uses it as a commercial woodworking shop. If the garage burns, how much will the HO policy pay?
A: 0
B: The ACV
C: The replacement cost
D: 10% of A

Medical payments under a homeowners policy cover expenses resulting from an injury to:
A: Any regular resident of the insured's household
B: The named insured
C: A residence employee
D: A person who is on the insured location without permission

The HO-4 (tenant HO) and the HO-6 (condo HO) are alike EXCEPT:
A: Both have replacement cost coverage
B: Both cover theft of personal property
C: Both cover personal property and liability
D: Both have a deductible on the property section

Your client usually pays $1,200 a month to live in her dwelling. After a fire, she and her family have to stay in a hotel at a cost of $1,700 a month. Her HO policy's Coverage D, additional living expense, will pay how much of this?
A: $1,700
B: $1,200
C: None
D: $500

You have 5 identical glass plates, worth $10,000 each, but as a set they are worth $60,000. In the event that 1 of the plates is damaged, how much will the insurer pay?
A: $60,000
B: $20,000
C: $10,000
D: $50,000

Under an HO ('00) policy, the Section II additional coverage for first aid will apply to:
A: A 16 year old foreign exchange student living with you
B: A friend helping you install a new carpet
C: Your parent living with you
D: Your children away at college

Each of the following is a coverage under Section I of the homeowners forms EXCEPT:
A: Medical payments
B: Dwelling
C: Other structures
D: Personal property

Which owned boat is automatically covered under Part II of a homeowners policy?
A: 100 hp inboard
B: 28' sailboat
C: 40 hp outboard
D: 12' kayak

Ben drives his uninsured auto into his own home, which is insured on an HO-2. Which of the following is true?
A: This is covered by his homeowners policy
B: This is excluded by his homeowners policy
C: The damages caused to the home and the trees, shrubs, plants and lawns is covered by his homeowners policy
D: This would only be covered if the party that had run into the home did not live in the home

All are true about medical coverage on an HO ('00) policy EXCEPT:
A: It covers resident employees
B: It covers expenses incurred within 3 years of the date of accident
C: It covers regular residents of your household
D: Is shown as Coverage F on the declaration page

On an HO ('00) policy, which of the following is considered to be a residence employee?
A: A household domestic doing your grocery shopping
B: The neighbor boy mowing your lawn
C: A day nurse caring for your mother
D: A plumber called to fix your sink

Section II of an HO policy covers all of the following EXCEPT:
A: Property damage
B: Bodily injury
C: Medical
D: Personal injury

On an HO-3 ('00) policy, an insured location includes all EXCEPT:
A: Family cemetery plots of an insured
B: Vacant farm land owned by an insured
C: A non-owned premises where the insured is temporarily residing
D: Land owned by the insured where a new residence is being built

A personal articles floater may be written to cover all of the following EXCEPT:
A: A show dog
B: Jewelry
C: A postage stamp
D: Furs

An HO-6 provides which type of coverage for contents?
A: Valued
B: Named peril
C: All-risk
D: Replacement cost

Which of the following expenses would be covered under loss of use on an HO-4?
A: Additional fuel costs due to the insured having to drive farther to work
B: Costs of food
C: Expenses involved due to cancellation of the insured's lease
D: All rent at insured's temporary location

On an HO-3 ('00), replacement cost coverage applies to:
A: Coverage A only
B: All Section I property coverages
C: Coverages A and B only
D: Coverage C only

On an HO-3 ('00) policy, freezing of plumbing is covered:
A: Never
B: Regardless
C: If the heat was left on
D: Only if the home is unoccupied

An HO-3 ('00) policy covers:
A: Animals, birds or fish
B: Vandalism occurring after 60 days vacancy
C: Water damage caused by sewer backup
D: Damage done by burglars

Coverage for trees, shrubs, and plants on an HO-3 is:
A: Unlimited
B: All-risk
C: Limited to a maximum of $500 for any one tree, shrub or plant
D: Includes windstorm