CPCU 553, Chapter 7 Exam | Questions with 100%
Correct Answers | Verified | Latest Update
2026/2027
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Terms in this set (24)
Personal property coverage for Provided on a limited basis for rowboats and
watercraft is canoes under both the homeowners policy and the
DP-3 policy.
For an urban area subject to riot and A syndicate.
civil commotion, the operators of a
group that jointly underwrite and
share the risks and profits of
property insurance in that area are
known as
, Alita owns a single-family home 158,000. The insurer will pay: (148K loss - 1K ded) +
which she insures under a Dwelling 10K Cov C limit + 1K additional insurance (10% of
Property 3—Special Form (DP-3) with Cov C for tenant improvements).
a Coverage A limit of $150,000, a
Coverage C limit of $10,000, no other
limits or endorsements, and a $1,000
deductible. Alita had rented the
partially-furnished property under a
long-term lease, and her tenant
added an attached screened-in
porch at a cost of $8,000. Recently,
the home suffered a loss by fire
valued at $148,000. Contents
belonging to Alita with an ACV of
$15,000 were also destroyed. How
much will Alita's insurer pay for the
loss?
Which one of the following make a Both FAIR plans and windstorm and beachfront
property ineligible for both FAIR plans will not provide coverage to a property with
plans and windstorm and beachfront unrepaired damage.
plans?
Clarise owns a vacation home on a Theft is not a covered peril.
lake, and has insured it under an
unendorsed DP-3 policy with a
Coverage A limit of $120,000 and a
Coverage C limit of $40,000. Clarise
discovered that a rowboat she keeps
tied to her dock on the lake has
been stolen. She filed a claim under
her dwelling policy for $700, the
actual cash value of the rowboat.
Would theft of the rowboat be a
covered loss?
Correct Answers | Verified | Latest Update
2026/2027
Save
Terms in this set (24)
Personal property coverage for Provided on a limited basis for rowboats and
watercraft is canoes under both the homeowners policy and the
DP-3 policy.
For an urban area subject to riot and A syndicate.
civil commotion, the operators of a
group that jointly underwrite and
share the risks and profits of
property insurance in that area are
known as
, Alita owns a single-family home 158,000. The insurer will pay: (148K loss - 1K ded) +
which she insures under a Dwelling 10K Cov C limit + 1K additional insurance (10% of
Property 3—Special Form (DP-3) with Cov C for tenant improvements).
a Coverage A limit of $150,000, a
Coverage C limit of $10,000, no other
limits or endorsements, and a $1,000
deductible. Alita had rented the
partially-furnished property under a
long-term lease, and her tenant
added an attached screened-in
porch at a cost of $8,000. Recently,
the home suffered a loss by fire
valued at $148,000. Contents
belonging to Alita with an ACV of
$15,000 were also destroyed. How
much will Alita's insurer pay for the
loss?
Which one of the following make a Both FAIR plans and windstorm and beachfront
property ineligible for both FAIR plans will not provide coverage to a property with
plans and windstorm and beachfront unrepaired damage.
plans?
Clarise owns a vacation home on a Theft is not a covered peril.
lake, and has insured it under an
unendorsed DP-3 policy with a
Coverage A limit of $120,000 and a
Coverage C limit of $40,000. Clarise
discovered that a rowboat she keeps
tied to her dock on the lake has
been stolen. She filed a claim under
her dwelling policy for $700, the
actual cash value of the rowboat.
Would theft of the rowboat be a
covered loss?