CISR Personal Residential Property QUESTIONS WITH
ANSWERS RATED A+
Long-Term Purchase/Contract of Sale - ownership arrangement when the title of the property
does not pass from the seller until all the terms of the installment contract have been satisfied; a
"lease-to-own" type agreement
Named Perils - coverage only for perils listed in a policy
Open Perils - coverage for any reason not specifically excluded from a policy
Peril - an event that causes or has the potential to cause damage or loss, such as a fire or falling
object
P.I.N.E.S - acronym used to describe the key conditions of duties after loss: Protect, Inventory,
Notify, Exhibit, Submit
Replacement Cost - cost to replace damaged property with like kind and quality at today's value
Seasonal Dwelling - dwelling with continuous unoccupancy of three or more consecutive months
during any one-year period
Settlor - an individual who establishes a trust
Tangible - real, physical property that you can touch, or property is physically present and is
made of physical materials
Trust - a relationship in which one party holds property for the benefit of another party
Trustee - an individual who manages a trust; often an attorney or accountant
Trustor - an individual who establishes a trust; trustor, settlor, creator, or grantor
Liberalization Clause - If the carrier makes a change, during the policy period or within 60 days
prior to the policy, which broadens coverage, and does not charge premium, the change will be
applied on the damage it is implemented in the policy's state
Waiver or Change of Policy Provisions - The insurance carrier must receive a request for waiver
or change of a provision of the policy in writing. The company will not waive any of its rights by
requesting an appraisal or examination
Cancellation - The insured may cancel the policy at any time with written notice to the carrier.
The policy may be canceled by the carrier with written notice to the insured and within a certain
time period depending on the reason for cancellation
, Nonrenewal - The carrier may choose not to renew the policy by providing written notice to the
insured within 30 days of the policy expiration
Assignment - The policy nor coverages can be assigned to another party without the insurance
carriers written consent
Subrogation - The right of the insurance company to collect reimbursement for a claim paid
under the policy if another party was responsible or negligent
Death - If the insured becomes deceased, the policy will provide certain persons with insured
status with respect to premises and property covered by the policy
Limit of Liability - Coverage E will not exceed the limit of liability stated in the Decs per
occurrence, and coverage F will not pay more than the limit stated in the Decs per person as the
result of one accident
Severability of Insurance - Coverage provided under Section II applies separately to each insured
but does not increase the limit of liability
Duties After Occurrence - Duties the insured must perform in the event of an occurrence
Duties of an Injured Person- Coverage F - Duties required of persons seeking Medical Payments
coverage
Payment of Claim- Coverage F - The insurance company nor the insured are admitting obligation
of liability by making payment under Medical Payments
Suit Against Us - Lawsuit cannot be filed against the insurance carrier unless all terms under
Section II have been complied with
Bankruptcy of an Insured - The carrier is not relieved of its obligations under the terms of the
HO policy in cases of an insureds bankruptcy or insolvency
Other Insurance - The HO policy will be excess over other valid and collectible insurance except
policies such as an Umbrella or Excess Liability
Policy Period - The policy will only apply to bodily injury or property damage which occurs
during the policy period
Concealment or Fraud - Coverage is not provided to an insured who, before or after a loss,
intentionally concealed or misrepresented facts or circumstances of a claim, engaged in
fraudulent conduct, or made false statements relating to the insurance provided through the
carrier
ANSWERS RATED A+
Long-Term Purchase/Contract of Sale - ownership arrangement when the title of the property
does not pass from the seller until all the terms of the installment contract have been satisfied; a
"lease-to-own" type agreement
Named Perils - coverage only for perils listed in a policy
Open Perils - coverage for any reason not specifically excluded from a policy
Peril - an event that causes or has the potential to cause damage or loss, such as a fire or falling
object
P.I.N.E.S - acronym used to describe the key conditions of duties after loss: Protect, Inventory,
Notify, Exhibit, Submit
Replacement Cost - cost to replace damaged property with like kind and quality at today's value
Seasonal Dwelling - dwelling with continuous unoccupancy of three or more consecutive months
during any one-year period
Settlor - an individual who establishes a trust
Tangible - real, physical property that you can touch, or property is physically present and is
made of physical materials
Trust - a relationship in which one party holds property for the benefit of another party
Trustee - an individual who manages a trust; often an attorney or accountant
Trustor - an individual who establishes a trust; trustor, settlor, creator, or grantor
Liberalization Clause - If the carrier makes a change, during the policy period or within 60 days
prior to the policy, which broadens coverage, and does not charge premium, the change will be
applied on the damage it is implemented in the policy's state
Waiver or Change of Policy Provisions - The insurance carrier must receive a request for waiver
or change of a provision of the policy in writing. The company will not waive any of its rights by
requesting an appraisal or examination
Cancellation - The insured may cancel the policy at any time with written notice to the carrier.
The policy may be canceled by the carrier with written notice to the insured and within a certain
time period depending on the reason for cancellation
, Nonrenewal - The carrier may choose not to renew the policy by providing written notice to the
insured within 30 days of the policy expiration
Assignment - The policy nor coverages can be assigned to another party without the insurance
carriers written consent
Subrogation - The right of the insurance company to collect reimbursement for a claim paid
under the policy if another party was responsible or negligent
Death - If the insured becomes deceased, the policy will provide certain persons with insured
status with respect to premises and property covered by the policy
Limit of Liability - Coverage E will not exceed the limit of liability stated in the Decs per
occurrence, and coverage F will not pay more than the limit stated in the Decs per person as the
result of one accident
Severability of Insurance - Coverage provided under Section II applies separately to each insured
but does not increase the limit of liability
Duties After Occurrence - Duties the insured must perform in the event of an occurrence
Duties of an Injured Person- Coverage F - Duties required of persons seeking Medical Payments
coverage
Payment of Claim- Coverage F - The insurance company nor the insured are admitting obligation
of liability by making payment under Medical Payments
Suit Against Us - Lawsuit cannot be filed against the insurance carrier unless all terms under
Section II have been complied with
Bankruptcy of an Insured - The carrier is not relieved of its obligations under the terms of the
HO policy in cases of an insureds bankruptcy or insolvency
Other Insurance - The HO policy will be excess over other valid and collectible insurance except
policies such as an Umbrella or Excess Liability
Policy Period - The policy will only apply to bodily injury or property damage which occurs
during the policy period
Concealment or Fraud - Coverage is not provided to an insured who, before or after a loss,
intentionally concealed or misrepresented facts or circumstances of a claim, engaged in
fraudulent conduct, or made false statements relating to the insurance provided through the
carrier
