Chapter 4

Dwelling coverage

What coverage is provided in all forms except the HO-4

Dwelling on the described premises and all attached structures, any materials or supplies located on or next to premises used to construct or repair dwelling, real property such as alterations appliances and fixtures

What is covered in dwelling coverage

Land and structures held for rental

What property is not covered in dwelling coverage

Other structures on the residence premises that are separated from the dwelling by a clear space or connected only by a fence or utility line, Structure rented to anyone other than a tenant of the dwelling, and structures used to store business property of the insured or tenant of the dwelling

What does coverage B cover in the HO policy

Land, structures rented, and other structures that are used to conduct any business

What property is not covered in coverage B

Yes

Is coverage C mandatory in all homeowner forms

Personal property used or owned by the insured while it’s anywhere around the world, property of roomers and boarders related to an insured, hobby aircraft, motor vehicles that are designed to assist the handicapped, blank storage media and prepackaged computer software

What property is covered in coverage C

Any items that are separately described and insured, animals birds and fish, aircraft other than hobby aircraft, hovercraft, motor vehicles, business data, property in an apartment regularly rented, credit cards, and water or stream

Property not covered in coverage C

HO

Which property policy covers property anywhere around the world

Coverage D

Loss of use

Loss of use

If a loss covered under the HO policy makes part of the residence premises not fit to live in, the insurer will cover loss of rent and additional living expenses for the shortest time required to repair or replace the damage

True

The expiration of the policy will not impact the payment of loss of use coverage

Additional coverages

Debris removal, reasonable repairs, trees shrubs and other plants, fire department services, property removed, credit cards, loss assessment, collapse, glass or safety glazing material, landlord furnishing, building additions and alterations, ordinance of law, and grave markers

Debris removal

Pay reasonable expenses for the removal of debris of covered property for a covered cause of loss

No, but the policy owner can add an additional amount

In HO policies is debris removal an additional amount of insurance?

Reasonable repairs

Covers the expenses incurred by the insured to make reasonable repairs to protect property from further damage following loss by a covered peril

$500

If tree, shrub, and other plant coverage is added to the HO policy what is the maximum limit per tree shrub or plant?

5%

What is the maximum per loss amount of coverage on the dwelling for tress, shrubs, and other plants?

30 days

How long is coverage provided for any cause loss while covered property is being removed because of endangerment by covered peril?

$1000

Maximum HO insurance will pay for loss assessment charged during a policy period?

Collapse

What type of HO coverage applies to both coverage A and B in which the additional coverage does not increase the limit of liability?

$2,500

How much does HO insurance pay for landlord furnishing?

Ordinance of law

Allows insured to use up to 10% of the limit of liability that applies to coverage A (or limit for buildings, additions and alterations in the HO-4) for increased cost incurred because of enforcement of any ordinance

The loss of value to any covered building or structure or the costs to comply with any ordinance or law that requires any insured to test for, clean up, or otherwise respond to pollutants on any covered building

What does ordinance of law not cover in HO policies?

$5,000

How much will HO insurance pay for grave markers?

Broad

Which form perils apply to all applicable coverages (A,B,C,D)

HO-2 covered perils

Broad form perils on coverage A,B, and C

HO-3 covered perils

Coverages A & B - Open perils; Coverage C - same perils as form HO-2

HO-4 covered perils

Coverage C same perils as form HO-2 (broad)

HO-5 covered perils

Building, other structures, and contents - open peril or special

HO-6 covered perils

Coverage A, B, and C for the same perils as form HO-2 (broad)

HO-6 (condominium)

In which form is coverage B merged with coverage A?

HO-8 covered perils

Fire or lightening; windstorm or hail; riot or civil commotion; aircraft; vehicle; smoke; vandalism; theft; volcanic eruption

HO-2 form

Broad

HO-3 form

special

HO-4

Content broad

HO-5 form

Comprehensive

HO-6 form

Condominium

HO-8 form

Modified homeowners

Ordinance of law, earth movement, water damage, power failure, neglect, war, nuclear hazard, intentional loss, government actio

General exclusions from HO policies

HO-3 and HO-5

Which forms have additional exclusions?

Coverage is provided on an open peril basis

Why does HO-5 have more exclusions than HO-3?