KY Property Insurance Exam |78
Questions and Answers
HO insurance Coverage A - -damage to the house; will receive max the face
amount of the policy
- HO insurance coverage B - -other structures; detached garage, shed,
fencing
- HO insurance coverage C - -personal property; includes household
contents, personal belongings
- HO insurance coverage D - -additional living expenses up to stated limit;
loss of use in case dwelling is damaged and you have to move while repairs
are done
- HO insurance coverage E - -personal liability; protect against accidents to
others on property you own or rent
- HO insurance coverage F - -medical expenses
- Actual Cash Value (ACV) - -The required amount to pay damages or for
property loss, which is calculated based on the property's current
replacement value minus depreciation.
- Dwelling Policy 1 - -dwelling fire form 1 protects against 9 named perils;
also covers garages, sheds, fences
- DP2 - -covers more perils and is on replacement cost for dwelling and ACV
for personal property
- DP3 - -Special Form; open peril/open risk; dwelling at replacement and
personal property at ACV
- declarations - -The section of an insurance policy containing the basic
underwriting information, such as the insured's name, address, amount of
coverage and premiums, and a description of insured locations
- exclusions - -Specific conditions or circumstances for which the policy will
not provide benefits/coverage
- conditions - -requirements of the insured that need to be met for valid
coverage
, - endorsement/rider - -additional charge for additional features and
benefits; add-ons you can buy for your policy
- Underwriting - -the process of selecting, classifying, and pricing applicants
for insurance; analyze risks involved in insuring people and assets
- NFIP
National Flood Insurance Program - -Made flood insurance available
- HO1 - -basic form; home and personal belongings covered at ACV
- HO2 - -Broad form, named peril (broad form) on coverage A, B, and C;
covers dwelling at replacement cost and personal belongings at ACV
- HO3 - -Special Form; all risk coverage to dwelling and most perils
coverage with personal belongings; open peril coverage; home covered at
replacement cost and personal belongings covered at ACV
- HO4 - -renters insurance; covers personal property inside rental property
and everywhere else; also covers liability and living expense if apt is
damaged and occupants temporarily move; personal property covered at
replacement cost
- HO5 - -Comprehensive Form; very similar to HO3 but home and personal
at replacement cost; all risk coverage on home and personal belongings;
high coverage limits
- HO6 - -Unit-Owners Form, Insures Condominium Owners - provides broad
coverage for personal property, loss of use, personal liability, medical
payments, loss assessment coverage
- HO7 - -mobile home; basically an HO3 but for mobile homes
- HO8 - -Modified Coverage Form, named peril coverage & losses settled on
ACV basis- for older homes; designed for homes that don't meet the insurer
standards required by most types of HO insurance
- Motor Truck Cargo Policy - -Inland Marine transportation insurance, which
protects the carrier against its liability for damage to domestic shipments in
its custody.
- Builders Risk Coverage Form - -A form that covers buildings in the course
of construction, including additions or alterations to existing buildings; lasts
for 90 days after building is completed
Questions and Answers
HO insurance Coverage A - -damage to the house; will receive max the face
amount of the policy
- HO insurance coverage B - -other structures; detached garage, shed,
fencing
- HO insurance coverage C - -personal property; includes household
contents, personal belongings
- HO insurance coverage D - -additional living expenses up to stated limit;
loss of use in case dwelling is damaged and you have to move while repairs
are done
- HO insurance coverage E - -personal liability; protect against accidents to
others on property you own or rent
- HO insurance coverage F - -medical expenses
- Actual Cash Value (ACV) - -The required amount to pay damages or for
property loss, which is calculated based on the property's current
replacement value minus depreciation.
- Dwelling Policy 1 - -dwelling fire form 1 protects against 9 named perils;
also covers garages, sheds, fences
- DP2 - -covers more perils and is on replacement cost for dwelling and ACV
for personal property
- DP3 - -Special Form; open peril/open risk; dwelling at replacement and
personal property at ACV
- declarations - -The section of an insurance policy containing the basic
underwriting information, such as the insured's name, address, amount of
coverage and premiums, and a description of insured locations
- exclusions - -Specific conditions or circumstances for which the policy will
not provide benefits/coverage
- conditions - -requirements of the insured that need to be met for valid
coverage
, - endorsement/rider - -additional charge for additional features and
benefits; add-ons you can buy for your policy
- Underwriting - -the process of selecting, classifying, and pricing applicants
for insurance; analyze risks involved in insuring people and assets
- NFIP
National Flood Insurance Program - -Made flood insurance available
- HO1 - -basic form; home and personal belongings covered at ACV
- HO2 - -Broad form, named peril (broad form) on coverage A, B, and C;
covers dwelling at replacement cost and personal belongings at ACV
- HO3 - -Special Form; all risk coverage to dwelling and most perils
coverage with personal belongings; open peril coverage; home covered at
replacement cost and personal belongings covered at ACV
- HO4 - -renters insurance; covers personal property inside rental property
and everywhere else; also covers liability and living expense if apt is
damaged and occupants temporarily move; personal property covered at
replacement cost
- HO5 - -Comprehensive Form; very similar to HO3 but home and personal
at replacement cost; all risk coverage on home and personal belongings;
high coverage limits
- HO6 - -Unit-Owners Form, Insures Condominium Owners - provides broad
coverage for personal property, loss of use, personal liability, medical
payments, loss assessment coverage
- HO7 - -mobile home; basically an HO3 but for mobile homes
- HO8 - -Modified Coverage Form, named peril coverage & losses settled on
ACV basis- for older homes; designed for homes that don't meet the insurer
standards required by most types of HO insurance
- Motor Truck Cargo Policy - -Inland Marine transportation insurance, which
protects the carrier against its liability for damage to domestic shipments in
its custody.
- Builders Risk Coverage Form - -A form that covers buildings in the course
of construction, including additions or alterations to existing buildings; lasts
for 90 days after building is completed
