Adjuster Pro – Indian - Chapter 3 Personal Lines CORRECT

Standard Fire Policy - ANSWER basic foundation of all homeowner's and commercial policies ACV Named peril policy that only covered fire and lightning first used in 1918 in NY Line of Coverage - ANSWER A particular risk or group of risks covered by an insurance policy Monoline Policy - ANSWER an insurance policy that covers only one risk or type of risk Personal lines - ANSWER for possessions intended for personal use commercial lines - ANSWER for possessions intended for business or corporate use Homeowners Insurance - ANSWER bundles property and liability insurance into one 'package' policy Property coverage - ANSWER covers physical losses to the home and associated structures liability coverage - ANSWER covers losses experienced by a third party, for which the policyholder is liable Buildings that qualify for HO: - ANSWER residential dwellings with up to 4 families (if at least one unit is occupied by the owner) dwellings used exclusively for residential purposes mobile homes buildings under construction HO-2 (broad form) - ANSWER Named peril policy cheap but provides more coverage than HO-8 Insures against all 17 broad form perils Covers the insured's house and personal property Named HO policies - ANSWER HO-2, HO-4, HO-6 and HO-8 Open HO policies - ANSWER HO-3 and HO-5 HO-3 (special form) - ANSWER the most common broader coverage for the insured buildings than there is for personal property Open peril for dwelling and other structures and named peril for personal property HO-4 (contents broad form) - ANSWER Named peril contents only for renters insures against all broad form perils only covers personal property, not other structures because renter has no insurable interest HO-5 Comprehensive Form - ANSWER Best coverage 'high end' essentially the same as HO-3 except it is Open peril for all structures and personal property HO-6 Condominium Form - ANSWER Named For condo owners Unit owners form Covers the owner's belongings, not the overall building Broad form perils covered HO-8 Modified Coverage Form - ANSWER Limited coverage -Fire, lightning, windstorm, hail, explosion, riot, aircraft, vehicles, smoke, malicious mischief, theft, volcano Named-peril policy Covers property at ACV Broad Form Endorsement - ANSWER Added more coverage Vandalism, theft, malicious mischief, breakage of glass in a building, storm door, or window, falling objects, weight of ice snow or sleet, collapse, damage from a steam or hot water system, accidental discharge or overflow of water or steam, freezing of plumbing, heating, air conditioning systems or domestic appliances, sudden and accidental damage from artificially generated electrical current, and volcano Section 1 of HO Policies - ANSWER Coverage A - Dwelling Coverage B - Other Structures Coverage C - Personal Property Coverage D - Loss of Use Additional Property Coverages Exclusions Conditions