PA Property & Casualty Insurance Exam
questions And Answers Verified 100% Correct
What are extended covered perils on a basic Dwelling policy? - ANSWER -
Windstorm or hail, explosion, smoke, aircraft and vehicles, riot or civil
commotion, volcanic eruption, and vandalism and malicious mischief
A basic dwelling policy automatically provides coverage against what? -
ANSWER -Fire, Lightning, and internal explosion
Under Coverage C- Personal Property in the dwelling policy, when will a guest's
property be covered? - ANSWER -Only when the property is at the insured
location
DP-3(Special) is an open- peril form. What does that mean? - ANSWER -All
perils are insured unless specifically excluded.
Which dwelling coverage form(s) will pay for the replacement cost of a dwelling?
- ANSWER -DP-2 Broad, and DP-3 Special
If an insured is in the process of moving to a new location, his personal property
coverage under the dwelling policy will apply on a pro rata basis at both locations
for how long? - ANSWER -30 Days
In Dwelling policies, any volcanic activity will be considered part of one
occurrence if it all happens within how many hours? - ANSWER -72 Hours
In dwelling policies, within how many years of a loss may an insured bring a
lawsuit against the insurer? - ANSWER -2 years
Which dwelling form is called the Broad form? - ANSWER -DP-2
Which dwelling form provides open peril coverage on the building? - ANSWER -
DP-3 Special
,Under what conditions can broad theft coverage be added to a dwelling policy? -
ANSWER -If the insured is the owner-occupant of the dwelling
Replacement cost coverage is provided in both the broad and special form of
dwelling policies when the amount of insurance on the dwelling is what
percentage? - ANSWER -At least 80% of the replacement cost
What are additional coverages available in Homeowners policies without
additional premiums? Name Several - ANSWER -Debris Removal,
Lawns/plants/shrubs, and trees, removal, reasonable repairs, and fire department
service charge
What type of coverage is included in Section II of Homeowners insurance? -
ANSWER -Personal Liability coverage
How many owner-occupied residences per covered home are allowed by
Homeowner policies? - ANSWER -An HO policy may insurer a property that has
1- to 4- family owner occupied residences
What does form HO-5 cover? - ANSWER -The dwelling and other structures, as
well as contents and personal property
When is an appraisal needed and how can it be requested? - ANSWER -If an
insured and an insurer disagree about the value of a property loss, either party can
make a written demand for an appraisal
What are the limits of theft coverage on an HO-8 form policy? - ANSWER -The
actual cash value of what was stolen; however, additional limits may apply to
certain classes of property
When would theft of property of guests and residence employees be covered under
the HO-8 form? - ANSWER -Only while on the insured premises
, In Homeowners policies, what determines the amount an insurer will pay under
Coverage D? - ANSWER -The amount of coverage on a dwelling
How is the coverage usually written for HO-8 forms? - ANSWER -For the market
value of the property
Which is the most limited HO coverage? - ANSWER -HO-8 (modified
homeowners)
What are the major coverages included in a Homeowners policy? - ANSWER -
Coverage A- Dwelling, Coverage B- Other Stuctures, Coverage C- Personal
Property , Coverage D- Loss of Use
What are the 2 liability coverages included in Homeowners policy forms? -
ANSWER -Coverage E- Personal Liability, Coverage F- Medical Payments to
Others
What Homeowners policy form is known as a special form? - ANSWER -HO-3
special form
What type of coverage is included in Homeowners policies, but is not available in
Dwelling policies - ANSWER -Liability Coverage
What Homeowners policy form is know as contents broad form? - ANSWER -
HO-4 contents broad form
In general, what do Homeowners policies cover? - ANSWER -Dwellings used
primarily as private residences
Under Coverage C of an HO-3 policy, what is the amount of insurance provided
for personal property? - ANSWER -At least 50% of the Coverage A limit (this
applies to all policies except for HO-4 and HO-6)
questions And Answers Verified 100% Correct
What are extended covered perils on a basic Dwelling policy? - ANSWER -
Windstorm or hail, explosion, smoke, aircraft and vehicles, riot or civil
commotion, volcanic eruption, and vandalism and malicious mischief
A basic dwelling policy automatically provides coverage against what? -
ANSWER -Fire, Lightning, and internal explosion
Under Coverage C- Personal Property in the dwelling policy, when will a guest's
property be covered? - ANSWER -Only when the property is at the insured
location
DP-3(Special) is an open- peril form. What does that mean? - ANSWER -All
perils are insured unless specifically excluded.
Which dwelling coverage form(s) will pay for the replacement cost of a dwelling?
- ANSWER -DP-2 Broad, and DP-3 Special
If an insured is in the process of moving to a new location, his personal property
coverage under the dwelling policy will apply on a pro rata basis at both locations
for how long? - ANSWER -30 Days
In Dwelling policies, any volcanic activity will be considered part of one
occurrence if it all happens within how many hours? - ANSWER -72 Hours
In dwelling policies, within how many years of a loss may an insured bring a
lawsuit against the insurer? - ANSWER -2 years
Which dwelling form is called the Broad form? - ANSWER -DP-2
Which dwelling form provides open peril coverage on the building? - ANSWER -
DP-3 Special
,Under what conditions can broad theft coverage be added to a dwelling policy? -
ANSWER -If the insured is the owner-occupant of the dwelling
Replacement cost coverage is provided in both the broad and special form of
dwelling policies when the amount of insurance on the dwelling is what
percentage? - ANSWER -At least 80% of the replacement cost
What are additional coverages available in Homeowners policies without
additional premiums? Name Several - ANSWER -Debris Removal,
Lawns/plants/shrubs, and trees, removal, reasonable repairs, and fire department
service charge
What type of coverage is included in Section II of Homeowners insurance? -
ANSWER -Personal Liability coverage
How many owner-occupied residences per covered home are allowed by
Homeowner policies? - ANSWER -An HO policy may insurer a property that has
1- to 4- family owner occupied residences
What does form HO-5 cover? - ANSWER -The dwelling and other structures, as
well as contents and personal property
When is an appraisal needed and how can it be requested? - ANSWER -If an
insured and an insurer disagree about the value of a property loss, either party can
make a written demand for an appraisal
What are the limits of theft coverage on an HO-8 form policy? - ANSWER -The
actual cash value of what was stolen; however, additional limits may apply to
certain classes of property
When would theft of property of guests and residence employees be covered under
the HO-8 form? - ANSWER -Only while on the insured premises
, In Homeowners policies, what determines the amount an insurer will pay under
Coverage D? - ANSWER -The amount of coverage on a dwelling
How is the coverage usually written for HO-8 forms? - ANSWER -For the market
value of the property
Which is the most limited HO coverage? - ANSWER -HO-8 (modified
homeowners)
What are the major coverages included in a Homeowners policy? - ANSWER -
Coverage A- Dwelling, Coverage B- Other Stuctures, Coverage C- Personal
Property , Coverage D- Loss of Use
What are the 2 liability coverages included in Homeowners policy forms? -
ANSWER -Coverage E- Personal Liability, Coverage F- Medical Payments to
Others
What Homeowners policy form is known as a special form? - ANSWER -HO-3
special form
What type of coverage is included in Homeowners policies, but is not available in
Dwelling policies - ANSWER -Liability Coverage
What Homeowners policy form is know as contents broad form? - ANSWER -
HO-4 contents broad form
In general, what do Homeowners policies cover? - ANSWER -Dwellings used
primarily as private residences
Under Coverage C of an HO-3 policy, what is the amount of insurance provided
for personal property? - ANSWER -At least 50% of the Coverage A limit (this
applies to all policies except for HO-4 and HO-6)
