types of property insurance policies pt 1

the standard deductible of a dwelling policy is

$500

An insured has a Basic Dwelling policy with a replacement value of $100,000. To save some money on premiums, the insured decides to insure the property for $40,000. If the insured suffers a $10,000 loss, how much with the insurer pay?

$5,000

Betty Lou has a DP-1 insuring her dwelling for $48,000 and the contents for $24,000. What part of the insurance may she have applied to rental value coverage?

20% of the coverage of the dwelling, which is $9,600 with a monthly limit of $800

all of the following are optional coverages under DP-1 policy except

fair rental value

g buys a DP-3 policy and pays additional premium for the personal liability supplement. which of the following losses would most likely to be covered under this endorsement

during a party at g’s house a friend falls down the stairs and breaks his neck

T owns a detached garage valued at $2,000. He rents it for $500 a month to a friend who utilizes it as a furniture refinishing business. A fire causes a $1,500 loss to the garage. How much will Ted's dwelling property policy pay?

$0

an individual who is leasing a condominium unit would purchase which of the following policies to protect their contents

HO-4

which homeowners policy form provides open peril coverage for a detached garage

HO-3

a farm property policy covers each of the following except

growing crops

the accounts receivable inland marine coverage form will reimburse the insured for all of the following except

the amount borrowed to stay in business

which of the following statements regarding a standalone windstorm policy is correct

the maximum deductible is usually 10%

the definition of flood for residential policies includes all of the following except

sewer backup

M owns a boat and one weekend, he accidentally hits a jet skier and causes $40,000 in damages. Assuming M is covered for this loss under his Watercraft policy, which part of the contract would spell out his liability coverage?

part A

E is a musician who owns a collection of vintage guitars with a current value of $80,000. E should properly insure these guitars with a(n):

personal articles floater

the minimum deductible on an earthquake policy is

$250

All of the following may be covered under Coverage B in a Businessowners Policy (BOP) Policy, EXCEPT:

client property in the possession of the insured on the insured premises

All of the following are additional coverages found in a Businessowners Policy (BOP), EXCEPT:

employee dishonesty

In a Commercial Package Policy, H, the primary policy holder, requests the same change be made to two coverage areas. What type of change is this?

an interline endorsement

The Building and Personal Property coverage form provides an extension of coverage for newly acquire property. Which (if any) of the following statements is correct about newly acquired property?

newly acquired buildings: up to $250,000 per building for 30 days