P&C Homeowners Insurance Policies 2

Question 1

Under a standard HO-3 policy, Section I (Property) Coverage A protects:

Accepted Answer

The dwelling building and attached structures

Answer

Personal property of the insured

Answer

Detached garages and fences only

Answer

Medical expenses of guests

Question 2

Which homeowners form provides the broadest coverage, insuring both the dwelling and personal property on an open-perils basis?

Accepted Answer

HO-5

Answer

HO-2

Answer

HO-3

Answer

HO-4

Question 3

Under Section II (Liability) of a homeowners policy, 'medical payments to others' coverage is designed to pay:

Accepted Answer

Medical expenses of third parties injured on the insured's property, regardless of fault

Answer

The insured's own medical bills after an accident

Answer

Lost wages of guests injured in the home

Answer

Liability judgments against the insured

Question 4

Which HO form is designed for renters (tenants) who do not own the building they occupy?

Accepted Answer

HO-4

Answer

HO-2

Answer

HO-3

Answer

HO-6

Question 5

The 'other structures' coverage (Coverage B) in a homeowners policy typically provides coverage equal to:

Accepted Answer

10% of the Coverage A limit

Answer

50% of the Coverage A (dwelling) limit

Answer

100% of the Coverage A limit

Answer

An amount separately scheduled by the insured

Question 6

Under a homeowners policy, which of the following perils is typically covered under Section I (Property) for a standard HO-3?

Accepted Answer

Vandalism

Answer

Flood

Answer

Earthquake

Answer

Gradual deterioration