STATE FARM FIRE INDEPENDENT POLICY ACTUAL EXAM CORE
QUESTIONS WITH ANSWERS GRADED A+
✔✔Under an HO-3 policy, which of the following would not be a Coverage A item?
Select the single best answer:
A. Automatic lawn sprinkler system
B. Wall to wall carpet attached to the dwelling
C. A new (in the box), built-in microwave oven the insured intends to install in his fishing
cabin.
D. A shed, on a foundation, rented to a neighbor to store the neighbor's boat
E. Materials and supplies to build bookshelves in the basement of the residence
premises and stored in the garage - ✔✔E. Materials and supplies to build bookshelves
in the basement of the residence premises and stored in the garage
✔✔An HO-3 homeowners policy with a $250 deductible is in force and the policy limits
(Coverage A and Coverage B) are adequate to cover this damage. During a severe
windstorm, rain blows through open windows and causes the following damage:
Hardwood floor in the dining room $1,700
Water stains on the drywall $ 220
Water stains on the area rug $125
Antique vase (broken by force of wind) $375
How much should you pay on this loss? All repairs have been made.
Select the single best answer:
A. $ 0
B. $1,920
C. $2,420
D. $2,170
E. $2,045 - ✔✔2170
✔✔If a picture falls from a wall and damages an expensive statue, under the HO-3
coverage for the statue would:
Select the single best answer:
A. Apply under the falling object peril
B. Not apply, not an insured peril
C. Apply under the collapse peril
D. Not apply since it should have been insured under a personal articles policy
E. None of the above - ✔✔not apply, not an insured peril
✔✔Bill Smith constructed an awning beside his detached garage, under which he stores
his small fishing boat. He screwed the framing of the awning to the fascia of the garage
, and supported the other side with posts set in concrete. Since the awning has no
foundation, it is not considered a Coverage A item.
True or False - ✔✔False
✔✔Mike and Jennifer Reed have an HO -3 policy in force with $250 deductible.
Lightning struck the insured's house, damaging the house and the contents. Mike is a
policeman and operates a engine repair shop in a shed on the insured premises.
Jennifer is a sales representative and often has samples and merchandise at the house.
The following items where listed on the personal property inventory forms submitted
after the loss.
Cash in Mike's billfold $35.00
Cash in Jennifer's purse $160.00
Change in piggy bank $25.00
Hand tools used in Mike's business $780.00
Jennifer's sales samples $320.00
Mike's police uniform $375.00
4 hunting rifles $1,820.00
3 shotguns $870.00
Use the information listed above to answer the following question. How much would you
pay for the money listed in this loss?
Select the single best answer:
A. $200
B. $220
C. $195
D. $185
E. None of the above - ✔✔E
✔✔Mike and Jennifer Reed have an HO -3 policy in force with $250 deductible.
Lightning struck the insured's house, damaging the house and the contents. Mike is a
policeman and operates a engine repair shop in a shed on the insured premises.
Jennifer is a sales representative and often has samples and merchandise at the house.
The following items where listed on the personal property inventory forms submitted
after the loss.
Cash in Mike's billfold $35.00
Cash in Jennifer's purse $160.00
Change in piggy bank $25.00
Hand tools used in Mike's business $780.00
Jennifer's sales samples $320.00
Mike's police uniform $375.00
4 hunting rifles $1,820.00
3 shotguns $870.00
QUESTIONS WITH ANSWERS GRADED A+
✔✔Under an HO-3 policy, which of the following would not be a Coverage A item?
Select the single best answer:
A. Automatic lawn sprinkler system
B. Wall to wall carpet attached to the dwelling
C. A new (in the box), built-in microwave oven the insured intends to install in his fishing
cabin.
D. A shed, on a foundation, rented to a neighbor to store the neighbor's boat
E. Materials and supplies to build bookshelves in the basement of the residence
premises and stored in the garage - ✔✔E. Materials and supplies to build bookshelves
in the basement of the residence premises and stored in the garage
✔✔An HO-3 homeowners policy with a $250 deductible is in force and the policy limits
(Coverage A and Coverage B) are adequate to cover this damage. During a severe
windstorm, rain blows through open windows and causes the following damage:
Hardwood floor in the dining room $1,700
Water stains on the drywall $ 220
Water stains on the area rug $125
Antique vase (broken by force of wind) $375
How much should you pay on this loss? All repairs have been made.
Select the single best answer:
A. $ 0
B. $1,920
C. $2,420
D. $2,170
E. $2,045 - ✔✔2170
✔✔If a picture falls from a wall and damages an expensive statue, under the HO-3
coverage for the statue would:
Select the single best answer:
A. Apply under the falling object peril
B. Not apply, not an insured peril
C. Apply under the collapse peril
D. Not apply since it should have been insured under a personal articles policy
E. None of the above - ✔✔not apply, not an insured peril
✔✔Bill Smith constructed an awning beside his detached garage, under which he stores
his small fishing boat. He screwed the framing of the awning to the fascia of the garage
, and supported the other side with posts set in concrete. Since the awning has no
foundation, it is not considered a Coverage A item.
True or False - ✔✔False
✔✔Mike and Jennifer Reed have an HO -3 policy in force with $250 deductible.
Lightning struck the insured's house, damaging the house and the contents. Mike is a
policeman and operates a engine repair shop in a shed on the insured premises.
Jennifer is a sales representative and often has samples and merchandise at the house.
The following items where listed on the personal property inventory forms submitted
after the loss.
Cash in Mike's billfold $35.00
Cash in Jennifer's purse $160.00
Change in piggy bank $25.00
Hand tools used in Mike's business $780.00
Jennifer's sales samples $320.00
Mike's police uniform $375.00
4 hunting rifles $1,820.00
3 shotguns $870.00
Use the information listed above to answer the following question. How much would you
pay for the money listed in this loss?
Select the single best answer:
A. $200
B. $220
C. $195
D. $185
E. None of the above - ✔✔E
✔✔Mike and Jennifer Reed have an HO -3 policy in force with $250 deductible.
Lightning struck the insured's house, damaging the house and the contents. Mike is a
policeman and operates a engine repair shop in a shed on the insured premises.
Jennifer is a sales representative and often has samples and merchandise at the house.
The following items where listed on the personal property inventory forms submitted
after the loss.
Cash in Mike's billfold $35.00
Cash in Jennifer's purse $160.00
Change in piggy bank $25.00
Hand tools used in Mike's business $780.00
Jennifer's sales samples $320.00
Mike's police uniform $375.00
4 hunting rifles $1,820.00
3 shotguns $870.00
