STATE FARM FIRE INDEPENDENT POLICY
LATEST EXAM REAL EXAM ACTUAL
VERIFIED QUESTIONS AND CORRECT
ANSWERS AGRADE.
Jennifer Marco has a HO-3 policy, with a Coverage B limit of
$75,000, a $500 deductible, and no Option AI, ID, FA or JF.
Which of the following statements is true concerning her personal
property?
Select the single best answer:
A. Coverage for personal property applies for perils listed under
Section I - Losses Insured, Coverage B - Personal Property and
Section I - Additional Coverages.
B. Coverage B applies only for items Jennifer owns, while
anywhere in the world.
C. The limit of liability for theft loss to jewelry and furs is $1000 or
10% of the Coverage B limit, whichever is greater.
D. The limit of liability for tornado losses to firearms is $2,500. -
ANSWER >>>>A. Coverage for personal property applies for
perils listed under Section I - Losses Insured, Coverage B -
Personal Property and Section I - Additional Coverages.
Under an HO-3 policy, deductibles apply to which of the following
type(s) of losses.
Select the single best answer:
A. Credit Card, Bank Fund Transfer Card, Forgery and
Counterfeit Money
B. Fire Department Service Charges
C. Rekey locks after keys are stolen
,D. Debris Removal Charges - ANSWER >>>>B. Fire Department
Service Charges
In the HO-3 policy, Coverage C consists of three coverages:
Additional Living Expense
Fair Rental Value
Property Removed
True or False - ANSWER >>>>False its Additional Living
expense, Fair rental value and prohibited use
The steps in applying the deductible on a HO-3 homeowners
policy are:
1.)The deductible is first applied to the covered loss.
2.)Any coverage or special limits are then applied to the covered
loss.
3.)The amount payable to the insured will be the greater of the
amounts arrived at in steps 1 and 2.
True or False - ANSWER >>>>True
The definition of an insured includes all of the following except:
Select the single best answer:
A. Person(s) listed on the Declaration Page
B. Spouse, if a resident of the household
C. Relatives, if residents of the household
D. Any person under the age of 21 in the care of the named
insured, resident spouse, or a resident relative
E. Spouse - ANSWER >>>>Spouse
Joe Smith has a HO-3 policy. He is a carpenter and has collected
100 2"X4" studs and 30 2"X6" rafters from various job sites. Joe
, has no specific plans to use the lumber. The lumber is covered
under Coverage A.
True or False - ANSWER >>>>False
Under an HO-3 policy, which of the following would be a
Coverage B item?
Select the single best answer:
A. Satellite dish bolted to the eave of the house
B. Free standing gas range
C. Built-in microwave oven
D. Automatic garage door opener
E. Water softener system - ANSWER >>>>Free Standing gas
range
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 - ANSWER
>>>>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
LATEST EXAM REAL EXAM ACTUAL
VERIFIED QUESTIONS AND CORRECT
ANSWERS AGRADE.
Jennifer Marco has a HO-3 policy, with a Coverage B limit of
$75,000, a $500 deductible, and no Option AI, ID, FA or JF.
Which of the following statements is true concerning her personal
property?
Select the single best answer:
A. Coverage for personal property applies for perils listed under
Section I - Losses Insured, Coverage B - Personal Property and
Section I - Additional Coverages.
B. Coverage B applies only for items Jennifer owns, while
anywhere in the world.
C. The limit of liability for theft loss to jewelry and furs is $1000 or
10% of the Coverage B limit, whichever is greater.
D. The limit of liability for tornado losses to firearms is $2,500. -
ANSWER >>>>A. Coverage for personal property applies for
perils listed under Section I - Losses Insured, Coverage B -
Personal Property and Section I - Additional Coverages.
Under an HO-3 policy, deductibles apply to which of the following
type(s) of losses.
Select the single best answer:
A. Credit Card, Bank Fund Transfer Card, Forgery and
Counterfeit Money
B. Fire Department Service Charges
C. Rekey locks after keys are stolen
,D. Debris Removal Charges - ANSWER >>>>B. Fire Department
Service Charges
In the HO-3 policy, Coverage C consists of three coverages:
Additional Living Expense
Fair Rental Value
Property Removed
True or False - ANSWER >>>>False its Additional Living
expense, Fair rental value and prohibited use
The steps in applying the deductible on a HO-3 homeowners
policy are:
1.)The deductible is first applied to the covered loss.
2.)Any coverage or special limits are then applied to the covered
loss.
3.)The amount payable to the insured will be the greater of the
amounts arrived at in steps 1 and 2.
True or False - ANSWER >>>>True
The definition of an insured includes all of the following except:
Select the single best answer:
A. Person(s) listed on the Declaration Page
B. Spouse, if a resident of the household
C. Relatives, if residents of the household
D. Any person under the age of 21 in the care of the named
insured, resident spouse, or a resident relative
E. Spouse - ANSWER >>>>Spouse
Joe Smith has a HO-3 policy. He is a carpenter and has collected
100 2"X4" studs and 30 2"X6" rafters from various job sites. Joe
, has no specific plans to use the lumber. The lumber is covered
under Coverage A.
True or False - ANSWER >>>>False
Under an HO-3 policy, which of the following would be a
Coverage B item?
Select the single best answer:
A. Satellite dish bolted to the eave of the house
B. Free standing gas range
C. Built-in microwave oven
D. Automatic garage door opener
E. Water softener system - ANSWER >>>>Free Standing gas
range
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 - ANSWER
>>>>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
