State Farm License- Standard Fire Policy Exam Questions And Answers

State Farm License- Standard Fire Policy Exam Questions And Answers Standard Fire Policy - the policy written for both Personal Lines (residential home or dwelling) or as Commercial Lines (official building) are the same! - fire insurance is another name for property insurance - can insure the building structure and/or the personal property. - not a HO policy since it does not cover theft of content and does not have liability coverage - never sold w/o adding Endorsement to the policy. (Endorsement is a form added to a policy that changes the policy's provision, usually with extra premium) what are the 4 parts of standard fire coverage? 1. Declaration (Dec Page): states the name of insurance comp (1st party) and the insured (2nd party); address of property; amount of coverage, premium, and policy period. 2. Insuring Agreement 3. Condition: The condition apply to both the insurer and the insured. Ex: the insured must notify the insurance comp in writing of any loss. Must do this in order for coverage to apply. 4. Exclusions: Something that never covered. Ex: war is not covered by standard fire policy. What are the things that are part of the insuring agreement? (standard fire policy) 1. Consideration Clause: the applicant 's consideration is the amount of the premium paid and the company's agreement to pay covered claims and abide by the provisions. REQUIRED TO MAKE A VALID CONTRACT. 2. Effective Time: policy starts and end @ 12:01 am on the Inception and Expiration date shown on Dec Page. Usually written for 1 year. 3. Effective Location: Location of the property insured