Question 1

All of the following losses are subject to special limits of liability under the Homeowners 3 policy EXCEPT

Accepted Answer

A) theft of firearms. 
B) destruction by fire of property used for business purposes. 
C) storm damage to a boat at a marina. 
D) furniture destroyed by a fire. 
A) theft of firearms. 
B) destruction by fire of property used for business purposes. 
C) storm damage to a boat at a marina. 
D) furniture destroyed by a fire.

Question 2

Which of the following statements concerning the coverage of collapse of the dwelling under an unendorsed Homeowners 3 policy is true?

Accepted Answer

A) There is no coverage for collapse,regardless of the cause of the collapse. 
B) Collapse is covered if it is caused by one of the Coverage C perils. 
C) If collapse is caused by an earthquake,the loss is covered. 
D) There is no coverage for collapse unless the proper endorsement is added to the policy. 
A) There is no coverage for collapse,regardless of the cause of the collapse. 
B) Collapse is covered if it is caused by one of the Coverage C perils. 
C) If collapse is caused by an earthquake,the loss is covered. 
D) There is no coverage for collapse unless the proper endorsement is added to the policy.

Question 3

Which of the following statements about the Homeowners 3 policy is (are)true?
I.Losses to the dwelling are always settled on an actual cash value basis.
II.Coverage on personal property is limited to $5,000.

Accepted Answer

A) I only 
B) II only 
C) both I and II 
D) neither I nor II 
A) I only 
B) II only 
C) both I and II 
D) neither I nor II

Question 4

Darla purchased an unendorsed Homeowners 3 policy.While the policy was in force,a fire occurred that destroyed a living room set.The living room set cost $4,000 new,but was 25 percent depreciated when the loss occurred.Replacement furniture will cost $4,400.Assuming no deductible,how much will Darla receive from her insurer?

Accepted Answer

A) $3,000 
B) $3,300 
C) $3,400 
D) $4,400 
A) $3,000 
B) $3,300 
C) $3,400 
D) $4,400

Question 5

Shauna purchased a condominium unit.Which homeowners policy is specially designed for condominium unit owners?

Accepted Answer

A) HO-2 
B) HO-3 
C) HO-4 
D) HO-6 
A) HO-2 
B) HO-3 
C) HO-4 
D) HO-6

Question 6

Section I of the Homeowners 3 policy provides coverage for which of the following?

Accepted Answer

A) loss of use 
B) personal liability 
C) disability of the homeowner 
D) medical payments 
A) loss of use 
B) personal liability 
C) disability of the homeowner 
D) medical payments

Question 7

A dwelling with a replacement cost of $150,000 was insured under a Homeowners 3 policy for $100,000 at the time the roof was destroyed by a windstorm.The actual cash value of the loss was $9,000,but it will cost $12,000 to replace the roof.Ignoring any deductible,what will the insurer pay to settle this loss?

Accepted Answer

A) $8,000 
B) $9,000 
C) $10,000 
D) $12,000 
A) $8,000 
B) $9,000 
C) $10,000 
D) $12,000

Question 8

Brian purchased an unendorsed Homeowners 3 policy.Under the policy,Brian's detached garage is also covered.Which of the following statements regarding coverage on the garage is true?

Accepted Answer

A) The garage is covered on a named-perils basis. 
B) Any losses to the garage are settled on an actual cash value basis. 
C) The garage is covered on an open-perils basis. 
D) The garage is covered under the dwelling coverage,Part A. 
A) The garage is covered on a named-perils basis. 
B) Any losses to the garage are settled on an actual cash value basis. 
C) The garage is covered on an open-perils basis. 
D) The garage is covered under the dwelling coverage,Part A.

Question 9

Which of the following statements is (are)true regarding cancellation of Homeowners 3 policy?
I.Under no circumstances may the policy be cancelled before the expiration date.
II.The policy can be cancelled for specified reasons is insurer follows the cancellation provisions specified in the policy

Accepted Answer

A) I only 
B) II only 
C) both I and II 
D) neither I nor II 
A) I only 
B) II only 
C) both I and II 
D) neither I nor II

All of the following losses are subject to special limits of liability under the Homeowners 3 policy EXCEPT

Which of the following statements concerning the coverage of collapse of the dwelling under an unendorsed Homeowners 3 policy is true?

Which of the following statements about the Homeowners 3 policy is (are)true? I.Losses to the dwelling are always settled on an actual cash value basis. II.Coverage on personal property is limited to $5,000.

Shauna purchased a condominium unit.Which homeowners policy is specially designed for condominium unit owners?

Section I of the Homeowners 3 policy provides coverage for which of the following?

Brian purchased an unendorsed Homeowners 3 policy.Under the policy,Brian's detached garage is also covered.Which of the following statements regarding coverage on the garage is true?

Which of the following statements is (are)true regarding cancellation of Homeowners 3 policy? I.Under no circumstances may the policy be cancelled before the expiration date. II.The policy can be cancelled for specified reasons is insurer follows the cancellation provisions specified in the policy

Risk and Its Treatment

Insurance and Risk

Introduction to Risk Management

Enterprise Risk Management

Types of Insurers and Marketing Systems

Insurance Company Operations

Financial Operations of Insurers

Government Regulation of Insurance

Fundamental Legal Principles

Analysis of Insurance Contracts

Life Insurance

Life Insurance and Contractual Provisions

Buying Life Insurance

Annuities and Individual Retirement Accounts

Health-Care Reform;individual Health Insurance Coverages

Employee Benefits: Group Life and Health Insurance

Employee Benefits: Retirement Plans

Social Insurance

The Liability Risk

Auto Insurance

Auto Insurance Continued

Homeowners Insurance,section II

Other Property and Liability Insurance Coverages

Commercial Property Insurance

Commercial Liability Insurance

Crime Insurance and Surety Bonds

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Exam 22: Homeowners Insurance,section I

All of the following losses are subject to special limits of liability under the Homeowners 3 policy EXCEPT

Which of the following statements concerning the coverage of collapse of the dwelling under an unendorsed Homeowners 3 policy is true?

Which of the following statements about the Homeowners 3 policy is (are)true? I.Losses to the dwelling are always settled on an actual cash value basis. II.Coverage on personal property is limited to $5,000.

Shauna purchased a condominium unit.Which homeowners policy is specially designed for condominium unit owners?

Section I of the Homeowners 3 policy provides coverage for which of the following?

Brian purchased an unendorsed Homeowners 3 policy.Under the policy,Brian's detached garage is also covered.Which of the following statements regarding coverage on the garage is true?

Which of the following statements is (are)true regarding cancellation of Homeowners 3 policy? I.Under no circumstances may the policy be cancelled before the expiration date. II.The policy can be cancelled for specified reasons is insurer follows the cancellation provisions specified in the policy

Risk and Its Treatment

Insurance and Risk

Introduction to Risk Management

Enterprise Risk Management

Types of Insurers and Marketing Systems

Insurance Company Operations

Financial Operations of Insurers

Government Regulation of Insurance

Fundamental Legal Principles

Analysis of Insurance Contracts

Life Insurance

Life Insurance and Contractual Provisions

Buying Life Insurance

Annuities and Individual Retirement Accounts

Health-Care Reform;individual Health Insurance Coverages

Employee Benefits: Group Life and Health Insurance

Employee Benefits: Retirement Plans

Social Insurance

The Liability Risk

Auto Insurance

Auto Insurance Continued

Homeowners Insurance,section II

Other Property and Liability Insurance Coverages

Commercial Property Insurance

Commercial Liability Insurance

Crime Insurance and Surety Bonds

Filters