Homeowners Insurance Policies Flashcards

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

Answer: The dwelling building and attached structures

Coverage A of the HO-3 covers the dwelling (the main residence building) and structures attached to it, such as an attached garage, on an open-perils basis.

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

Answer: HO-5

The HO-5 (Comprehensive Form) covers both the dwelling and personal property on an open-perils basis, making it the broadest standard homeowners form available.

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

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

Medical payments to others (Coverage F) pays medical expenses of guests or others injured on the insured's property without requiring proof that the insured was negligent — it is a no-fault coverage.

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

Answer: HO-4

HO-4 (Renters Form) is designed for tenants; it covers personal property and provides liability coverage but does not cover the building, since the renter does not own it.

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

Answer: 10% of the Coverage A limit

Coverage B automatically provides coverage for other structures on the premises (detached garages, fences, sheds) at 10% of the Coverage A dwelling limit, without the need to schedule them separately.

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

Answer: Vandalism

Vandalism is a covered peril under the HO-3 (and many other homeowners forms) as long as the home has not been vacant for more than a specified period, typically 60 days.