ADB Exam
aggregate limit - Answers -the amount payable for all claims in a single policy period
contingent liability - Answers -when a business is held legally liable for the actions, or
failures to act, of other parties such as subcontractors
tort law - Answers -injuries suffered by one party as a result of another party's actions or
negligence when there is no contract
occurrence - Answers -event that results in an insured loss becasue of a continued and
repeated exposure
insuring agreement - Answers -describes the perils insured against
contract of adhesion - Answers -contract between two parties that doesn't allow for
negotiation
monoline policy - Answers -contains a single line of coverage
the Other Insurance Provision - Answers -defines how each policy will pay
HO-2 - Answers -(broad form): covers the dwelling, other structures, and personal
property on a named perils basis
HO-3 - Answers -(special form): covers the dwelling and other structures on a risk-of-
direct-physical loss basis. All direct physical losses are covered except those losses
specifically excluded. Personal property is covered on a named perils basis
HO-4 - Answers -(contents broad form): covers a tenant's personal property on a named
perils basis
HO-5 - Answers -(comprehensive form): provides open peril coverage for both the
dwelling and other structures and personal property
HO-6 - Answers -(unit owners form): covers personal property on a named perils basis.
A minimum of $5,000 of insurance is also provided on the condominium unit that covers
improvements and additions
HO-8 - Answers -Modified form (older homes)
aggregate limit - Answers -the amount payable for all claims in a single policy period
contingent liability - Answers -when a business is held legally liable for the actions, or
failures to act, of other parties such as subcontractors
tort law - Answers -injuries suffered by one party as a result of another party's actions or
negligence when there is no contract
occurrence - Answers -event that results in an insured loss becasue of a continued and
repeated exposure
insuring agreement - Answers -describes the perils insured against
contract of adhesion - Answers -contract between two parties that doesn't allow for
negotiation
monoline policy - Answers -contains a single line of coverage
the Other Insurance Provision - Answers -defines how each policy will pay
HO-2 - Answers -(broad form): covers the dwelling, other structures, and personal
property on a named perils basis
HO-3 - Answers -(special form): covers the dwelling and other structures on a risk-of-
direct-physical loss basis. All direct physical losses are covered except those losses
specifically excluded. Personal property is covered on a named perils basis
HO-4 - Answers -(contents broad form): covers a tenant's personal property on a named
perils basis
HO-5 - Answers -(comprehensive form): provides open peril coverage for both the
dwelling and other structures and personal property
HO-6 - Answers -(unit owners form): covers personal property on a named perils basis.
A minimum of $5,000 of insurance is also provided on the condominium unit that covers
improvements and additions
HO-8 - Answers -Modified form (older homes)
