CHEAT SHEET - PROPERTY & CASUALTY EXAM | QUESTIONS AND
ANSWERS | VERIFIED ANSWERS (100% CORRECT) | LATEST EXAM
UPDATE
What are the forms of homeowner policies? - CORRECT ANSWER - HO-2, HO-
3, HO-4, HO-5, HO-6, HO-8. Each of these forms provides identical liability
coverage. The property coverage varies with the homeowners form selected. The
following is a list of the forms with the covered perils of each.
HO-2 - CORRECT ANSWER - Broad form; owner occupant
HO-3 - CORRECT ANSWER - Special Form; owner occupant
HO-4 - CORRECT ANSWER - Tenants or Renters
HO-5 - CORRECT ANSWER - Comprehensive Form; owner-occupant (open to
all except exclusions)
HO-6 - CORRECT ANSWER - Condominium Owners
HO-8 - CORRECT ANSWER - Modified Form for Special Risks (such as older
homes that would cost more to rebuild than they're worth)
Dwelling Basic Form - CORRECT ANSWER - DP-1
DP-1 - CORRECT ANSWER - *Dwelling basic form that provides certain other
coverages that are automatically included for not additional premium.*
, -Other structures allows use of up to 10% of the Coverage A limit of liability for
covered losses to other structures as described in coverage B.
-Debris removal pays for the expense of removing debris as the result of a loss
covered by the policy.
-Reasonable repairs pays for reasonable costs to make necessary repairs to protect
property from further damage following a covered loss.
-Improvements, alterations, and additions provide coverage for insureds who are
tenants for improvements or alterations made to the dwelling at the tenant's
expense
-Fire department service charge - pays up to $500 for fire department charges
incurred when they're called to save or protect property.
-Worldwide coverage provides 10% of coverage C (personal property on premisis)
-Rental value - provides up to 20% of Coverage A (dwelling) limit of liability for
loss of fair rental value.
Dwelling Broad Form - CORRECT ANSWER - DP-2
DP-2 - CORRECT ANSWER - *Includes all the coverages in DP-1 plus some
other coverages that are not found in DP-1.* + BIG AFFECT
-Trees, shrubs, and other plants pays up to 5% of Coverage A limit for damage to
trees, shrubs, plants. etc. Policy will not pay more than $500 for damage.
-Collapse pays for the collapse of the dwelling caused by a specified list of perils.
To be considred a collapse, the loss must involve the building or part of building
abruptly falling or caving.
-Glass or safety glazing material pays for the breakage of glass or safety glazing
material and damage to covered property caused by glass breakage.
ANSWERS | VERIFIED ANSWERS (100% CORRECT) | LATEST EXAM
UPDATE
What are the forms of homeowner policies? - CORRECT ANSWER - HO-2, HO-
3, HO-4, HO-5, HO-6, HO-8. Each of these forms provides identical liability
coverage. The property coverage varies with the homeowners form selected. The
following is a list of the forms with the covered perils of each.
HO-2 - CORRECT ANSWER - Broad form; owner occupant
HO-3 - CORRECT ANSWER - Special Form; owner occupant
HO-4 - CORRECT ANSWER - Tenants or Renters
HO-5 - CORRECT ANSWER - Comprehensive Form; owner-occupant (open to
all except exclusions)
HO-6 - CORRECT ANSWER - Condominium Owners
HO-8 - CORRECT ANSWER - Modified Form for Special Risks (such as older
homes that would cost more to rebuild than they're worth)
Dwelling Basic Form - CORRECT ANSWER - DP-1
DP-1 - CORRECT ANSWER - *Dwelling basic form that provides certain other
coverages that are automatically included for not additional premium.*
, -Other structures allows use of up to 10% of the Coverage A limit of liability for
covered losses to other structures as described in coverage B.
-Debris removal pays for the expense of removing debris as the result of a loss
covered by the policy.
-Reasonable repairs pays for reasonable costs to make necessary repairs to protect
property from further damage following a covered loss.
-Improvements, alterations, and additions provide coverage for insureds who are
tenants for improvements or alterations made to the dwelling at the tenant's
expense
-Fire department service charge - pays up to $500 for fire department charges
incurred when they're called to save or protect property.
-Worldwide coverage provides 10% of coverage C (personal property on premisis)
-Rental value - provides up to 20% of Coverage A (dwelling) limit of liability for
loss of fair rental value.
Dwelling Broad Form - CORRECT ANSWER - DP-2
DP-2 - CORRECT ANSWER - *Includes all the coverages in DP-1 plus some
other coverages that are not found in DP-1.* + BIG AFFECT
-Trees, shrubs, and other plants pays up to 5% of Coverage A limit for damage to
trees, shrubs, plants. etc. Policy will not pay more than $500 for damage.
-Collapse pays for the collapse of the dwelling caused by a specified list of perils.
To be considred a collapse, the loss must involve the building or part of building
abruptly falling or caving.
-Glass or safety glazing material pays for the breakage of glass or safety glazing
material and damage to covered property caused by glass breakage.
