CAIB 1 Chapter 3 Exam Questions and Answers 100% Pass

CAIB 1 Chapter 3 Exam Questions and Answers 100% Pass Identify four perils that mobile homes are more susceptible to than conventional homes - Answer- 1. Fire 2. Windstorms 3. Hail 4. Transportation Identify the purpose of "tie downs" - Answer- Secure the unit to the foundation so that it remains stable during windstorms Explain the purpose of "dent clause" - Answer- Excludes payment unless the exterior siding has been actually torn or punctured by the storm Identify 2 expenses included in the "Emergency Removal Expense" and state the amount available. - Answer- 1. Disconnecting water and power services 2. Towing or transporting costs - Up to 5% of the amount of insurance on the dwelling can be used to pay for reasonable expenses incurred in its removal from the site Identify two exclusions to the Mobile Home Insurance Form (IBC 1157) - Answer- 1. Loss or damage caused by moving 2. Loss due to conversion, embezzlement or secretion by any person in possession of the building Identify 4 prospects for a Tenant's Package policy. - Answer- 1. Those living in apartments 2. Those renting a dwelling or portion of it 3. Those who as a part of their remuneration, receive the use of a dwelling 4. Owner(s) of a business who occupies private living quarters in a mercantile or commercial building owned by the business Identify 2 items normally insured within the definition of personal property. - Answer- 1. Appliances 2. Furniture Define "condominium" - Answer- System of separate ownership of individual units in a multiple unit building Identify the 2 items that the Condominium Corporation is responsible to insure. - Answer- 1. The value of the building 2. The value of common elements Identify 3 "common elements" - Answer- 1. Parking area 2. Landscaping 3. Recreational areas In addition to the personal property, identify the 3 unique coverages available to unit owners. - Answer- 1. Coverage U1 - Improvements and betterments 2. Coverage U2 - Loss Assessment 3. Coverage U3 - Unit Additional Protection Under Coverage U2, identify 4 situations where a special assessment may be levied against each unit owned. - Answer- 1. Under-insurance