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438 Cards in this Set

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Under The Dwelling '89 Policy the isured dwelling cannot have more than ___ roomers or boarders.
5
Definition of Insurance
the transfer of the possibility of a loss (risk) to an insurance company, which in turn spreads the costs of unexpected losses to many individuals.
Definition of "Insurable Interest"
any interest an insured may have in property that is the subject of insurance, so that damage or destruction of that property would cause the insured financial loss.
Define "Risk"
uncertainty or chance of a loss occurring.
Name the 2 types of risk
1. Pure Risk
2. Speculative Risk
What Type of Risk is insurable
Pure Risk
What is a Hazard?
a condition or situation which creates or increases the probability of or extent of a probable loss froma peril.
What are the 3 types of hazards?
1. Physical
2. Moral
3. Morale
What is a Physical Hazard
A condition of the subject of insurance which creates or increases the chance of loss, such as structural defects, occupancy, poor housekeeping or location.
What is a Moral Hazard?
A dishonest predisposition on the part of an insured which increases the chance of loss. This could include an applicant who has been previously convicted of arson, falsifing an insurance claim, etc.
What is a Morale Hazard?
Applicants who demonstrate a careless attitutde that could inicrease the chance of loss that would be greater than otherwise be the case.
What is a peril?
The cause of a possible loss.
what is a "Named Peril?"
Cause of loss specifically covered by the insurance policy.
True or False:
Covereage is provided for unlisted perils.
False
What is an "Open Peril?"
Term used inproperty insurance to describe the breadth of coverage provided under an insurance policy form that insures against "any risk of loss" that is not specifically excluded.
What is a dwelling policy used to insure?
can insure the dwelling only, contents only, or both.
How many coverage forms are available under the dwelling program?
There are 3 separate coverage forms available under the Dwelling program that provides basic, broad, or special form coverage.
When is the Dwelling '89 Policy used?
when residential dwellings are not eligible for coverageunder the regular Homeowners program because of age, location, value, or other factors.
True or False: The dwelling's construction must be completed in order to be eligible for Dwelling Coverage.
False:
Under the Dwelling Program, The dwelling can be completed or in the course of construction
What are permissible incidential occupancies, and what do they include?
Certain incidental business occupancies may be covered by endorsement if they are conducted by the
insured on the dwelling premises, and there are no more than 2 persons working at any time. Permissible
incidental occupancies include small service operations, such as barber and beauty shops, tailors and
dressmakers, shoe repair operations, telephone answering services, offices, music or photographic
studios and private schools.
What are the 3 coverage forms applicable to the Dwelling ('89) Policy
1. DP 00 01 - Basic
2. DP 00 02 - Broad
3. DP 00 03 - Special
The Dwelling '89 Policy is used to insure __ to __ unit residential dwellings
The Dwelling '89 Policy is used to insure 1 to 4 unit residential dwellings
Dwelling Form DP 00 01 is a _____ peril coverage form
Dwelling Form DP 00 01 is a named peril coverage form and provides the most limited coverage of the
three forms
Losses under the basic form DP 00 01 will be paid on an _________ basis
Losses under the basic form will be paid on an actual cash value basis.
What is the minimum amount of insurance required for the basic form DP 00 01?
Unlike the broad
and special forms, there is no minimum amount of insurance required for the basic form
Name the perils insured against under the basic form DP 00 01
1. Fire
2. Ligtning
3. Internal Explosion
What are extended covereage perils?
WHARVES
1. Windstorm or Hail
2. Explosion
3. Smoke
4. Aircraft and Vehicles
5. Riot or Civil Commotion
6. Volcanic Eruption
What is covered in Burglary Damage?
Burglary Damage expands the coverage included for vandalism and malicious mischief. Coverage is
provided for damage to any covered property (not just the building) if caused by burglary. There is no
coverage for property taken by burglars (theft) or if the dwelling has been vacant for 30 or more days
before the loss.
Under The broad form coverage (DP 00 02) Losses to the dwelling are covered on a _________ basis as long as the insured maintains coverage
equal to at least 80% of the dwelling replacement cost.
Replacement Cost Basis
Name the 7 additional perils insured in the broad form DP 00 02,
besides the basic form perils, the extended coverage perils, and vandalism and malicious mischief.
1. Burglary Damage
2. Falling Objects
3. Weight of Ice or Snow
4. Tearing apart cracking, burning or bulging
5. Accidental Discharge or Overflow of Water or Steam
6. Freezing of Plumbing
7. Artificially Generated Electricity
What perils are insured against in a special form policy?
Unlike the basic and broad forms which are named peril forms, the special form (DP 00 03) is an open
peril form. In other words, all perils are insured against except those specifically excluded
Why is The Dwelling policy often the policy of choice to insure rental properties?
The Dwelling policy is often the policy of choice to insure rental properties because it does not contain a
vacancy clause. While certain coverage may be suspended after 30 days of vacancy (V&MM, glass
breakage), other perils are not affected by vacancy.
What are The primary differences between the broad form and special form coverages?
Theft of property that is a part of the dwelling or other structure is covered in the special form.
 The coverage for accidental discharge or overflow of water and steam is expanded to cover loss
as the result of accidental discharge or overflow of water or steam that occurs off the insured
premises. For example, if the overflow of a neighbor's plumbing system causes damage to the
insured premises, there would be coverage.
 There is no exclusion to antennas, outdoor equipment, fences, or awnings from the peril of falling
objects in the special form.
Name The 5 coverages the Dwelling Policy has for the insured to select from to cover the dwelling:
 Dwelling;
 Other structures;
 Personal property;
 Fair rental value; and
 Additional living expenses.
Which coverages are included in all 3 policy forms (basic broad or special)
 Dwelling;
 Other structures;
 Personal property;
 Fair rental value;
additional
living expenses which is not included in the basic form, but may be attached by endorsement
Which coverage is not included in the 3 policy forms (basic, broad or special)
additional
living expenses which is not included in the basic form, but may be attached by endorsement
Under the DP policy A standard deductible of $____ applies to all property coverage
A standard deductible of $250 applies to all property coverageexcept fair rental
value, additional living expense, and the fire department service charge
On what basis does the deductable applly under the DP polciy?
The deductible applies only on
an occurrence basis, regardless of how many types of property are involved in the loss;
What does Fair Rental Value include?
Coverage D - Fair Rent Value
If property under Coverage A, B or C becomes damaged or destroyed and unfit for normal use, the
policy will pay the fair rental value of the described premises under Coverage D - Fair Rental Value,
or part of it used as rental property. Fair rental value does not include expenses that would not continue
while the premises are unfit for use (such as heat and electricity). Coverage continues until repairs are
completed and will not stop if the policy expires first.
What is the purpose of removal, and how long does coverage last in a Dewlling Policy?
The policy will pay for loss or damage to property removed from the insured premises when threatened by a peril insured against. Perils insured against in converted to "open peril" coverage during the process of removal. The basic form policy provides coverage for 5 days, while the broad and special forms provide 30 days coverage.
True or False?
There are numerous conditions found in the Commercial Property Coverage Part which are in addition to the conditions contained in the Common Policy Conditions Form.
True Some of these conditions are found directly in the individual coverage forms, while others are attached by a separate endorsement, called the Commercial Property Condtions.
The following are the common _________ found in Commercial Property Conditions Forms:
 Concealment, Misrepresentation or Fraud Coverage - Coverage will be voided in the event the
insured committed fraud as it relates to the policy at any time.
 Control of Property - This condition states that any act or negligence by persons not under the
direction of the insured will not void coverage.
 Insurance Under Two or More Coverages - If more than one coverage under the policy can
respond to the same loss, the insurer will pay no more than the actual loss.
 Legal Action Against the Insurer - No person may bring legal action against the insurer until all
policy terms have been complied with, and then only if the legal action is brought within 2 years
of the loss (this time may vary from state to state).
 Liberalization - If the insurer adopts any provisions which would broaden coverage during the
policy period or within 45 days prior to the effective date, the broadened coverage will also apply
without having to be endorsed on the policy.
 No Benefit to Bailee - No person who has custody of covered property, other than the insured,
can benefit from the insurance.
 Other Insurance - If the insured has other insurance with the same terms, conditions, and
provisions, the policy will contribute by limits. If the other insurance is other than that described
above, the policy will respond on an excess basis, paying only for the amount of any loss in
excess of the other insurance.
 Policy Period, Coverage Territory - The policy territory includes the United States, its
possessions and territories, Puerto Rico, and Canada.
 Transfer of Rights of Recovery Against Others (Subrogation) - The insured must transfer any
rights he/she has to recover damages from another person to the insurer after the insurer makes
payment for the loss.
Conditions
What are coverage forms used for?
coverage forms tell what property is being covered
Building and Personal Property Coverage Form
is the main form used to cover ____________________________
Building and Personal Property Coverage Form (coverage forms tell what property is being covered)
is the main form used to cover buildings, business personal property, and property of others on the
insured's premises.
What is The most common form used to insure commercial property
The most common form used to insure commercial property is the Building and Personal Property
Coverage Form
Can the insured have replacement cost coverage under the Building and Personal Property Coverage Form?
Replacement cost coverage can be written at the option of the
insured for the building and business personal property, but not for personal property of others.
What does Building Coverage cover under the Commercial Building and Personal Property Form?
insures the building described, including outdoor fixtures and furniture, items used
to service the property, permanently installed machinery and equipment, and additions under
construction, including the materials, supplies and equipment within 100 feet of the premises. There is a
$1,000 limitation for loss or damage to outdoor signs attached to the building.
Commercial Building Coverage covers materials, supplies and equipment within ____ feet of the premises.
100 feet
What is the limitation for loss or damage to outdoor signs attached to the building under Commercial Building Coverage?
There is a $1,000 limitation.
Under the Commercial Building and Personal Property Form what does "Personal Property of Others" cover?
covers personal property if located at the described premises and in the insured's care, custody or control.
Under the Commercial "Personal Property of Others" coverage, personal property is only covered if it meets the following criteria.
1. __________
2. __________
1. If located at the described premises and
2. in the insured's care, custody or control.
True or False:

Accounts, bills, currency, money or securities is not covered in the Building and Personal Property Coverage Form.
True. This is not covered under this form.
True or False:

Animals are covered in the Building and Personal Property Coverage Form.
False.
Animals (unless owned by others and boarded, or owned by the insured as "stock" while inside a
building);
True or False:
Automobiles held for sale are covered under the Building and Personal Property Coverage Form
False.
True or False:
Automobiles held for sale are not covered under the Building and Personal Property Coverage Form
True or False:
The costs of excavating are not covered under the Building and Personal Property Coverage Form
True. This is not covered under the Building and Personal Property Coverage Form
The Building and Personal Property Coverage Form includes the following 5 additional Coverages
1. Debris Removal
2. Preservation of Property
3. Fire Department Service Charge
4. Pollutant Clean Up and Removal
5. Increased Cost of Construction
Under the Building and Personal Property Coverage Form Debris Removal is limited to not more than ____% of the loss
25%
Under the Building and Personal Property Coverage Form Debris Removal covers the cost of removing debris following a covered loss. Theses expenses must be reported to the insurer within ______ 180 days of the loss for coverage to apply.
180 days
What happens If the 25% limit for Debris Removal under the Building and Personal Property Coverage is insufficient?
A grant of an additional $10,000 coverage is available.
What is the Preservation of Property Coverage under Building and Personal Property
The policy will also pay for any damage to property moved to protect it from further damage, but only for 30 days after the property is first moved.
How many days will the insurer pay for the "Preservation of Property" under The Building and Personal Property Coverage Form?
30 days after the property is first moved.
If the insured is under an obligation to pay for fire department service calls, the Building and Personal Property Coverage will reimburse the insured for up to $_______
$1,000 and the deductible does not apply.
The Building and Personal Property Coverage Form will pay up to $______ for "Pollutant Clean Up and Removal"
$10,000 is the most an insurer will pay in any 12 month period
The insurer will cover Pollutant Clean Up and Removal under "The Building and Personal Property" coverage form if
1. _________
2. _________
1. the discharge is caused by a covered cause of loss

2. It is reported in writing within 180 days of occurance.
How many days does the insured have to report a covered loss for Pullutant Clean up and Removal under the Building and Personal Property Coverage Form?
covered cause of loss must be reported within 180 days of occurance.
The Increased Cost of Construction coverage under Building and Personal Property Coverage Form will pay the ________ of $______ or ___% of the limit of insurance applicable
The policy will pay the lesser of: $10,000 or 5% of the limit of
insurance applicable to the building for increased cost of construction resulting from building laws
enforcement.
Under "The Building and Personal Property Coverage Form" Newly Acquired or Constructed Property coverage is for ____ days
30 days
Under "The Building and Personal Property Coverage Form" Newly Acquired or Constructed Property will pay up to ___% of the building limit to a maximum of $_______ for newly acquired buildings and ___% of the personal property limit for a maximum of $_____for personal property
This extension will
pay up to 25% of the building limit to a maximum of $250,000 for newly acquired buildings, and
10% of the personal property limit for a maximum of $100,000 for personal property.
The Building and Personal Property Coverage Form
Personal Effects and Property of Others - Coverage is for up to $_____ for personal effects of
the insured or his employees (coverage does not apply to theft). This coverage can also be applied
to personal property of others in the insured's care, custody, and control.
Personal Effects and Property of Others - Coverage is for up to $2,500 for personal effects of
the insured or his employees (coverage does not apply to theft). This coverage can also be applied
to personal property of others in the insured's care, custody, and control.
The Building and Personal Property Coverage Form
Valuable Papers and Records - $_____ for the cost to research, replace or restore lost
information from valuable papers and records can be covered.
Valuable Papers and Records - $2,500 for the cost to research, replace or restore lost
information from valuable papers and records can be covered.
The Building and Personal Property Coverage Form
Property Off Premises - Up to $______ for property, excluding stock, which is temporarily at a
premises the insured does not own, lease or operate. This coverage does not apply to personal
property in a vehicle, or in the possession of a salesperson.
Property Off Premises - Up to $10,000 for property, excluding stock, which is temporarily at a
premises the insured does not own, lease or operate. This coverage does not apply to personal
property in a vehicle, or in the possession of a salesperson.
The Building and Personal Property Coverage Form
Outdoor Property - Up to $_____ for fences, radio and television antennas, and detached signs,
or $___ for trees, shrubs and plants damaged or destroyed by fire, lightening, explosion, riot or
civil commotion or aircraft.
Outdoor Property - Up to $1,000 for fences, radio and television antennas, and detached signs,
or $250 for trees, shrubs and plants damaged or destroyed by fire, lightening, explosion, riot or
civil commotion or aircraft.
The Building and Personal Property Coverage Form
Nonowned Detached Trailers - $_____ coverage applies only if the loss occurs when the trailer
is in the insured's custody and only if the insured is contractually obligated to pay for the loss or
damage. A higher limit may be shown in the declarations. This coverage is considered excess over
other insurance.
Nonowned Detached Trailers - $5,000 coverage applies only if the loss occurs when the trailer
is in the insured's custody and only if the insured is contractually obligated to pay for the loss or
damage. A higher limit may be shown in the declarations. This coverage is considered excess over
other insurance.
The Building and Personal Property Coverage Form.
What is the most the insurer is obligated to pay?
he limit of insurance specified in the policy declarations,
minus any applicable deductible
The Building and Personal Property Coverage Form

How often does the deductible apply?
The deductible applies only once per occurrence, regardless of the
number of different properties involved
What is the standard deductible on The Building and Personal Property Coverage Form
The standard deductible is $500 on most policies, but may be
higher or lower in some states.
What is the "abandonment" condition?
Abandonment - The insured cannot abandon property to the insurer.
What is the appraisal condition?
Appraisal - If the insurer and insured cannot agree on the value of property, both parties may
make written demand for an appraisal of the loss. The decision agreed upon by the appraisal
process will be binding on both parties.
What is the "Coinsurance" condition?
Coinsurance - The coinsurance clause defines how much will be paid in the event the insurance
limits do not meet the policy coinsurance requirement.
 Notify the police if a law has been broken;
 Give the insurer prompt notice of the loss;
 Give the insurer a description of how, when and where the loss occurred;
 Take all reasonable steps to protect property from further damage;
 At the insurer's request, provide an inventory of both damaged and undamaged property;
 Permit the insurer to inspect the property as often as necessary;
 Send the insurer a signed, sworn proof of loss within 60 days of their request; and
 Cooperate with the insurer in the investigation.
What are the Duties in the Event of Loss or Damage
 Notify the police if a law has been broken;
 Give the insurer prompt notice of the loss;
 Give the insurer a description of how, when and where the loss occurred;
 Take all reasonable steps to protect property from further damage;
 At the insurer's request, provide an inventory of both damaged and undamaged property;
 Permit the insurer to inspect the property as often as necessary;
 Send the insurer a signed, sworn proof of loss within 60 days of their request; and
 Cooperate with the insurer in the investigation.
Duties in the Event of Loss or Damage
Loss Payment - In the event of loss or damage, the insurance company has the option to:
 Pay the value of the lost or damaged property;
 Pay the cost of repairing or replacing the lost or damaged property;
 Take all or any part of the property at an agreed or appraised value; or
 Repair, rebuild or replace the property with other property of like kind and quality.
Vacancy under the Building and Personal Property Coverage Form - If the building has been vacant for more than ___ consecutive days before the loss, the
insurer will not pay for damage caused by vandalism, sprinkler leakage, glass breakage, water
damage, theft, or attempted theft. If the loss is caused by any other peril, the insurer will reduce
the amount they would have otherwise paid by ___%.
Vacancy - If the building has been vacant for more than 60 consecutive days before the loss, the
insurer will not pay for damage caused by vandalism, sprinkler leakage, glass breakage, water
damage, theft, or attempted theft. If the loss is caused by any other peril, the insurer will reduce
the amount they would have otherwise paid by 15%.
Valuation under "The Building and Personal Property Coverage Form" - The insurer will settle the loss on an _________ basis except under certain conditions
actual cash value
Commercial property coverage can be written with 1 of __ Causes of Loss Forms
3
What are the 3 cause of loss forms for Commercial Property?
1. Basic
2. Broad
3. Special
These are similar to the coverage forms discussed
for the Dwelling and Homeowners policies in that each form covers a wider range of perils than the
previous form. In addition, a fourth cause of loss form can be attached to the policy to cover the peril of
earthquake. However, when earthquake is covered, 1 of the other Causes of Loss Forms must also be
attached to the policy.
Under Commercial Property Coverate The Basic form is a named peril form that covers __ causes of loss.
11 causes of loss

1. Fire
2. Lightning
3. Explosion - Does not include explosion of pressure relief vessels or if caused by water
4. Windstorm or Hail - Typical types of property not covered include outdoor crops, signs, radio and
television antennas, plants and shrubs. Loss to the interior of the building is not covered unless
there is first damage to the exterior of the building.
5. Smoke
6. Aircraft or Vehicles - There is no coverage for loss or damage caused by a vehicle owned or
operated by the insured in the course of their business.
7. Riot or Civil Commotion
8. Vandalism - Glass breakage or damage to an outside sign caused by vandals, or other damage
resulting from theft (except the damage caused by breaking in or exiting the premises) is not
covered.
9. Sprinkler Leakage - Covers discharge or leakage from an automatic fire protective sprinkler
system, including collapse of a tank.
10. Sinkhole Collapse - Covers direct loss caused by the sudden sinking or collapse of land created by
the action of water on limestone. If the collapse is into a man-made hole, there is no coverage.
Coverage also does not include filling the sinkhole.
11. Volcanic Action - Covers direct loss from volcanic eruptions if caused by lava, ash, dust, or
airborne shockwaves. The cost to remove ash or dust that does not cause a direct loss is not
covered. All volcanic eruptions that occur within any 168-hour period are considered 1 event.
Commercial Lines:

Utility Services - Direct Damage endorsement provides coverage for ...
direct damage caused by utlity service disruption stemming from a covered peril. The insured's location and utility service must be indicated in the endorsement.
Commercial Lines;

Utility Services - Direct Damage; what utility services are included?
water services, communication services and power supply services.
Which of the following would not be considered to be a flood?

a. runoff of surface waters

b. sewer backup

c. Overflow of tidal waters

d. Mudslides
B. Sewer Backup

Flood is defined as a general and temporary condition of partial or complete inundation of normally dry land areas from overflow of inland or tidal waters or from the unusual and rapid accumulation or runoff of surface waters from any source.
What is the definition of "Flood"
General and temporary condition of partial or complete inundation of normally dry land areas from overflow of inland or tidal waters or from the unusual and rapid accumulation or runoff of surface waters from any source.
Commercial Lines:
Utility Services-Time Element endorsement covers ...
Utility Services-Time Element Endorsement covers the insured's loss of business income or extra expense in the event of a direct physical loss to a utility service. The insured's location and utility service must be indicated in the endorsement.
(pg. 73)
Inland Marine:
According to the Nationwide Marine Definitions that were developed by NAIC, all of the following properties may be insured under a Marine form EXCEPT

a. TV Transmitting Towers

b. Money and Securities

c. Imports

d. Exports
B. Money and Securities are insured under bonds or crime forms
What is the "Nationwide Marine Definition"
a statement about the types coverage that may properly be written on Inland Marine and Ocean Marine insurance forms.
The Nationwide Marine Definition is used principally for _____________ rather than as a definition of underwriting powers.
classification purposes
Inland Marine:
The extension of coverage under the Commercial Fine Arts Floater includes coverage for newly acquired property for a maximum of $______
an extension of coverage is included for newly acquired property for 30 days for up to 25% of the total limit of insurance, to a maximum of $10,000
Inland Marine:
The extension of coverage under the Commercial Fine Arts Floater includes coverage for newly acquired property for _____ days for up _____% of the total limit of insurance, to a maximum of $____________
an extension of coverage is included for newly acquired property for 30 days for up to 25% of the total limit of insurance, to a maximum of $10,000
Inland Marine:
Commmercial Fine Art Coverage Form is used to cover ....
fine arts owned by the insured or similar property of others in the insured's care, custody or control
Inland Marine:
Commercial Fine Art Coverage form does not cover what property?
property while on exhibit at a fair or exhibition and contraband or property in illegal tade or transportation.
Inland Marine
Commercial Fine Art Coverage Form provides coverage on a ________ basis
all-risk basis

(pg. 88)
How much coverage is provided under a Homeowners Policy for theft or unauthorized use of a credit card?
$500 is provided automatically but may be increased by endorsement.
Theft Coverage under an HO-8 is restricted to
Theft Coverage under an HO-8 is restricted to the actual cash value of what was stolen, with limits for certain classes of property.
Personal Lines:
How does the mobilehome endorsement effect the Law or Ordinance other coverage in a Homeowners Policy?
It removes the coverage;
The mobilehome endorsement makes the coverage of Law or Ordinance inapplicable to the policy.
(pg.40)
How does The mobilehome endorsement cahnge the additional coverage of Property Removed?
The additional coverage or Property Removed is changed to add up to $500 for reasonable expenes incurred in the removal and return of the mobilehome when it is necessary to avoid damage or endangered by a peril insured against.
Harry's construction company leaves mobile equipment and construction machinery on the job site until the project is completed. What could Harry use to insure it?
Contractor's Equipment Floater covers equipment left unattended on a job site until the project is completed
(pg. 80)
What is the Contractors Equipment Floater?
The Contractor Equipment Floater is an unfiled Inland Marine Coverage Form that is used to insure mobile equipment and contractor's equipment owned, rented or borrowed by contactors (as opposed to dealers). It provides coverage for the equipment not only while it is located on the job site, but also during trans[portation to and from the job site, or while it is temporarily stored between jobs.
(pg. 80)
Inland Marine:
The Contractors Equipment Floater usually includes coverage for newly acquired equipment for ____ days. This coverage extension is usually limited to ____% OF THE LIMIT OF INSURANCE.
The coverage form usually includes coverage for newly acquired equipment for 30 days. This coverage extension is usually limited to 25% of the limit of insurance.
(pg.80)
What type of business would use the Mail Floater?
This coverage is necessary for banks, trust companies, insurance companies, fiduciaries and others.
(pg.90)
Which of the following is covered under the Mail floater of a Commercial Inland Marine Policy ONLY if it is sent by registered mail?

a. Currency and unsold travelers checks

b. Postage and revenue stamps

c. Money Orders, Checks, Drafts, Notes

d. Bonds, Stocks, Stock Certificates, Coupons attached to bonds
A. Currency and and unsold Travelers Checks

(pg.90)
The Mail floater of a Commercial Inland Marine Policy covers property divided into what 2 categories?
1. Property sent by first class, certified, express or registered mail

2. Property covered only when sent by registed mail
Mail floater of a Commercial Inland Marine Policy covers what property only when sent by registered mail?
1. Bullion

2. Platinum & other precious metals

3. Currency and unsold travelers checks

4. Jewelry, watches, precious and semiprecious stones and similar property.
Mail floater of a Commercial Inland Marine Policy covers what property sent by first class, certified, express or registered mail?
1. Bonds, stocks, stock certificates, coupons attached to bonds.

2. Postage and revenue stamps

3. Money Orders, checks, drafts, notes.

4. Bills of ladin, warehouse receipts and other commercial paper

5. Other valuable documents and papers, except unsold travelers checks and money.
The Business Income Coverage Form covers consequential loss of business income that occurs when a business must suspend operations because of a direct loss. Because of the direct relation of the time a business is unable to operate to the amount of such a loss, this form is also called ________
Time Element

The Business Income Coverage Form covers the consequential loss of business income that occurs when a business must suspend operations because of a direct loss. These forms are also called time element forms because of the direct relation of the time a business is unable to operate to the amount of the loss.
What Dwelling Policy insures a structure on an Actual Cash Value Basis?
DP-1

DP-2 and 3 insures the structure on a replacement cost basis.
True or False:
Flood Insurance Coverage is provided for dwelling or commercial property.
True;
NFIP is available for buildings and there contents in designated geographic areas only.
True or False:
Flood Insurance Coverage may be provided for growing crops and livestock.
False
True or False:
Flood Insurance Coverage is excluded for money and securities.
True
True or False:
Flood Insurance Coverage is available in designated areas only.
NFIP is available for buildings and there contents in designated geographic areas only.
Inland Marine:
What is the "Accounts Receivable" Coverage Form?
an Inland Marine Coverage Form that provides protections for losses of accounts due from customers that become ncollectible because of a loss to the insured's accounts receivable records. Coverage is for property at a fixed location unlike most inland marine coverage.
Inland Marine;

What are the 3 additional coverage included in the Accounts Receivable Form?
1. Interest on loans the insured must take out to offset the impaired collection.

2. Expenses the insured incurs to reestablish records

3. Additional collection expenses that are more than normal expenses.

(pg. 78-79)
Inland Marine;
Accounts Receivable Coverage form is written on _____ risk basis
Coverage is written on a all-risk basis

pg.79
Losses caused by Vandalism & Malicious Mischief are excluded under a Homeowners Policy if ...
The dwelling had been vacant for more than 60 days.
What is a "Common Carriers"
Common Carriers transport the property of anyone who hires them
What is a Contract Carrier
Contract Carriers only transport property of others in which they have a written contact
What is "Private Carriers"
Private carriers tranport their own property.
What are the 3 types of carriers for Inland Marine Coverage?
1. Common Carriers
2. Contract Carriers
3. Private Carriers
Inland Marine;
In addition to the 3 types of carriers, there are 3 different parties that may have a financial interest in the property being transported. They are ...
1. Shipper
2. Consignee
3. Carrier
Inland Marine:

The Shipper is ...
This is the person or company that is sending the goods
Inland Marine;

The Consignee is ...
This is the person or company that will receive the goods
Inland Marine;

The Carrier is ...
This is the company that is transporting the goods
Inland Marine.
With transportation coverage; what does the contract "F.O.B. - Shippers Location" mean?
the shipper owns the property only until it is transferred to the carrier. Once the carrier has possesion, the conignee owns the property and will suffer any loss if the property is damaged during shipment.
Inland Marine.
With transportation coverage; what does the contract "F.O.B. - Congignee's Location" mean?
The shipper owns the property until it is delivered to the consignee
Inland Marine.
With transportation coverage; what does the "F.O.B." mean?
Free on Board
Inland Marine
Common Carrier Cargo Liability covers ...
Common Carrier Cargo Liability covers the carrier's legal liability for damage or loss to property in the insured's care and custody for transportation.

pg.85)
What is a Bill of Lading?
a contract for the transport of goods between the shipper and the carrier.
Inland Marine;
When are common carriers required to issue a Uniform Bill of Lading?
to every person (shipper) that it transports good for.
When a regular bill of lading is issued who will be responsible for the invoice cost of any damaged property?
The carrier will be responsible.
When a regular bill of lading is issued does the shipper have to specifically declare a value?
No, However the carrier may issue a released bill of lading in which the shipper must specifically declare the values of the property being shpped.
A Dwelling Policy has a standard deductible of $_____ that applies to all property coverage, except fair rental value, additional living expenses, and the fire department service charge.
A standard deductible of $250 applies to all property coverage, except fair rental value, additional living expenses, and the fire department service charge.
If an insured is in the process of moving to a new location, his personal property coverage under the dwelling policy will apply on pro-rata basis at both location for how long?
Personal Property being moved to a new location can be covered for up to 30 days without notice to the insurer.
The Inland Marine Coverage Form for Outdoor Signs provides "open peril" coverage and excludes coverage for breakage when ...
The open peril coverage provided under Outdoor Signs excludes damage done while transporting, repairing, installing or dismantling the sign.
The Commercial Property Coverage Forms for signs, usually limits coverage to $______ for attached outdoor signs.
$1,000
Under the Commercial Property Coverage Forms for Signs how much coverage is provided for detached signs?
no coverage is provided for detached signs.
Commercial Lines;
Equipment Breakdown Coverage is written with a single limit of insurance per accident. However, what is the sublimit for hazardous substance cleanup, or repair or replacement or contaminated property?
$25,000
What is the Business Income Coverage Form?
Covers the consequential loss of business income that occurs when a business must suspend operations because of a direct loss
Business Income Coverage Forms are also known as _____________ forms
Time Element Forms because of the direct relation of the time a business is unable to operate to the amount of the loss
What is the waiting period for Business Income Coverage?
72 hours
How many Business Income Coverage Forms are avaiable?
2 forms are avaiable; 1 with and 1 without extra expense coverage.
What is meant by Business Income?
Net income (net profit before income taxes) that would have been earned or incurred, and continuing normal operating expenses incurred, including payroll.
Regarding Business Income Coverage; what is the period of restoration?
the period of time that begins with the date of direct physical loss and ends on the date the property should be reapired or rebuilt with reasonable speed and similar quality.
What 4 additional coverage are INCLUDED in the Business Income Coverage Form?
1. Expenses to Reduce Loss

2. Civil Authority

3. Alteration and New Buildings

4. Extened Business Income
Business Income Coverage Form:

What is the "Expenses to Reduce Locc" coverage?
the insurer will pay for necessary expenses incurred to reduce the amount of loss. the coinsurance clause does not apply to this additional coverage
Business Income Coverage Form:

What is the "Civil Authority" coverage?
The insurer will also pay for the actual loss of business income caused by the action of a civil authority that prohibits acccess to the damaged premises. This coverage will only apply for up to 3 weeks
Business Income Coverage Form:

How long will the "Civil Authority" coverage last?
up to 3 weeks
Business Income Coverage Form;

What is the "Alterations and New Buildings" coverage?
under this additional coverage, the insurer will pay for loss of business income resulting from loss to any of the following;

- New buildings or structures whether completed or under construction.

- Alterations or additions to existing buildings.

- Machinery, Equipment, supplies or building materials located on the described premises or within 100 feet, used in the construction or incidental to the occupancy of the building.
Business Income Coverage Form - Alterations and New Buildings Coverage;

If the direct physical damage delays the start of operations when will the period of restoration begin?
The period of restoration will begin on the date operations would have begun.
Business Income Coverage Form - Alterations and New Buildings Coverage;

Machinery, equipment, supplies or building materials are covered if ______ or _____, used in the construction or incidental to the occupancy of the building
located on the described premises or within 100 feet
Which of the following lines of insurance CANNOT be included in the Commercial Package Policy?

a. Crime

b. Boiler & Machinery

c. Inland Marine

d. Ocean Marine
D. Ocean Marine

There are no Commercial Package Policy coverage forms for Ocean Marine and none for Aviation.
When one or more coverage is included in a single commercial policy under the ISO format, it is considered to be a _________
Commercial Package Policy.
Business Income Coverage Form;

The Extended Business Income Covers ...?
the actual loss of business income that the insured incurs during the period that

- begins on the date the property is actually repaired and operations are resumed and

- ends on the earlier of the date the insured could restore operations with reasonable speed and diligence, or 30 days after the date operations are actually resumed.
The Mail Coverage Form is always written on a _______ form basis
Reporting Form Basis
The Mail Coverage Form is always written on a reporting form basis, with reports due within ______ after the end of each reporting period shown in the declarations.
30 days
Extra Expense Coverage Form covers ....?
consequential losses. It will reimburse the insured for extra expenses they incur to keep the business operational following a direct loss to the business property.

It provieds the necessary extra expenes to resume operations at another locations or with new equipment.
Business Lines
True or False

Does the Extra Expense Coverage Form include coverage for Business Income
False.
it does not include coverage for business income
What is the primary purpose of the Business Income Coverage Form?
Loss of income resulting from property damage at the insured's property.
The Basic Dwelling Program automatically provides coverage against fire, lightning and ______?
Internal Explosion
Would Large Pleasure Boats be covered under Inland Marine Coverage?
No; Large pleasure boats would be covered under a Boatowners policy or if large enough, under yacht insurance
How would an insurer add "Theft of personal property" coverage to an existing dwelling policy
By endorsement only
Personal Lines;

What Coverage (A, B, C, D, E) would provide coverage to a garage not attached to the primary insured dwelling?
Coverage B
What are the essential elements of the Commercial Package Policy, regardless of how the policy is written?
- Common Policy Declarations Page

- Common Policy Conditions

- Interline Endorsement(if required)

- Coverage Parts
What are the coverage parts that may be included in the Commercial Package Policy?
1. Commercial Property Coverage

2. General Liability Coverage

3. Crime

4. Equipment Breakdown Coverage

5. Auto Coverage Part

6. Inland Marine Coverage

7. Farm Coverage
What are the coverage parts that may be included in the Commercial Package Policy?
1. Commercial Property Coverage

2. General Liability Coverage

3. Crime

4. Equipment Breakdown Coverage

5. Auto Coverage Part

6. Inland Marine Coverage

7. Farm Coverage
What are the coverage parts that may be included in the Commercial Package Policy?
1. Commercial Property Coverage

2. General Liability Coverage

3. Crime

4. Equipment Breakdown Coverage

5. Auto Coverage Part

6. Inland Marine Coverage

7. Farm Coverage
What information does the Declarations Page of a policy provide?
who, what, when, where, and how much this is consistent in all of the policies. When is 12:01 am at the mailing address of the who
Commercial Lines;
what are interline endorsements?
endorsements that apply to more than one coverage part.

Designed to eliminate redundancy
Commercial Lines;
The Equipment Breakdown Coverage Form, formerly called the ________
Boiler and Machinery coverage
Commercial Lines;
The Equipment Breakdown Coverage Form is used to insure ....?
most types of business risks and all industrial risks.
Commercial Lines;
What is covered by the Equipment Breakdown Coverage Form?
1. Loss to property owned by the insured.

2. property of others in the insured's care or is legally liable

3. Expediting expenses (up to $25,000)

4. Newly Acquired Locations for 90 days

5. Supplementary Payments
(defending a law suit, costs of bonds to release attachements, loss of earnings up to $250/day, costs from a judgement
Commercial Lines;

What is the minimum limit required for bodily injury liability under the Equipment Breakdown Coverage form.
The Equipment Breakdown Coverage form does not cover bodily injury liability.
Commercial Lines
Equipement Breakdown coverage is written with a single limit of insurance per accident. However, within this limit the policy has sublimits.

What is the sublimit for expediting expenses?
$25,000
Commercial Lines
Equipement Breakdown coverage is written with a single limit of insurance per accident. However, within this limit the policy has sublimits.

What is the sublimit for water damage?
$25,000
Commercial Lines
Equipement Breakdown coverage is written with a single limit of insurance per accident. However, within this limit the policy has sublimits.

What is the sublimit for hazardous substance cleanup, or repair or replacement of contaminated property?
$25,000
Commercial Lines
Equipement Breakdown coverage is written with a single limit of insurance per accident. However, within this limit the policy has sublimits.

What is the sublimit for ammonia contamination damage?
$25,000
Commercial Lines;
True or False

Equiment Breakdown Coverage includes losses that result from Ordinance or Law.
False;

this is specifically excluded
Commercial Lines;
Equipment Breakdown Coverage Form insures property on a _______ basis
Replacement Cost Basis; however, if damaged property is not repaired or replaced within 18 months after the accident, settlement is at the smaller of Actual Cash Calue or the cost to repair or replace.
Commercial Lines;
Equipment Breakdown Coverage Form

What happens if the damaged property is not repaired or replaaced within 18 months after the accident?
settlement is at the smaller of Actual Cash Value or the cost to repair or replace.
The ________ Policy is a package policy approach to insurance for business firms that meet the eligibility requirements.
Businessowners Policy
Commercial Lines

The _________ Policy is a stand-alone policy with its own forms.
Businessowners Policy
Commercial Lines

Like the Homeowners Policy, the ___________ Policy provides property and liability coverage in a single contract.
Businessowners Policy
Commercial Lines

Like the Homeowners Policy the __________ Policy there is a single premium with no division or itemization of premium charged for property or liability
Businessowners Policy
Commercial Lines

The ____________ Policy is a prepackaged policy designed to fit the needs of the small to medium size business.
Businessowners Policy
Commercial Lines

Instead of selecting the individual's ocverages to be insured, the insurance company offers a package of coverage, which includes both property and liability.

What Policy is this?
Businessowners Policy
Commercial Lines

On this prepackaged policy the insured usually cannot elect to exclude coverage that is automatically provided in the package
Businessowners Policy
BOP Eligibility:

Office Buildings not exceeding ____ Stories
6
BOP Eligibility:

Office Buildings with up to __________ square feet in total floor area
100,000 square feet
BOP Eligibility:

Office Buildings not exceeding _____ stories in height or __________ square feet in total floor area.
Office Buildings not exceeding 6 stories in height or 100,000 square feet in total floor area
BOP Eligibility:

Apartments and condominiums not exceeding ___ stories in height or ____ dwelling units
Apartments and condominiums not exceeding 6 stories in height or 60 dwelling units
BOP Eligibility:

Mercantile, Processing and Service establishments if total floor area of the building does not
exceed ________ square feet or annual gross sales of $____________
Mercantile, Processing and Service establishments if total floor area of the building does not
exceed 25,000 square feet or annual gross sales of $3,000,000
BOP Eligibility

Contractors such as _________, _________, _________, __________
Contractors including carpenters, electricians, painters, plumbers, etc
BOP Eligibility:

What type of restaurants are typically elibile for a Businessowners Policy? Up to how many square feet?
Restaurants limited to fast food types up to 7,500 square feet
BOP Eligibility:

Are restaurants that are elibigle for a Businessowners Policy allowed to serve alcohol?
and wine sales are permitted
subject to a limit of 25% of gross sales
BOP Eligibility:

Are Convenience Stores with Gasoline Pumps eligible for a Businessowners Policy?
Convenience Stores with Gasoline Pumps, but gasoline sales are limited to 50% gross sales (no
auto service, auto washing, or propane/kerosene filling permitted).
BOP Eligibility

is a convenience store with gasoline pumps and an car wash eligible for a Businessowners Policy?
No
Convenience Stores with Gasoline Pumps, but gasoline sales are limited to 50% gross sales (no
auto service, auto washing, or propane/kerosene filling permitted).
BOP:

What are some advantages of a prepackaged policy?
- Property and liability coverage is included in a single package

- the most common options needed are included or available for a small premium

- the rates for the entire package are more favorable
BOP:

What are some advantages of a prepackaged policy?
- Property and liability coverage is included in a single package

- the most common options needed are included or available for a small premium

- the rates for the entire package are more favorable
BOP:

What are some advantages of a prepackaged policy?
- Property and liability coverage is included in a single package

- the most common options needed are included or available for a small premium

- the rates for the entire package are more favorable
BOP:
True or False

There is a seperate premium for liability and property.
False
The premium for the Businessowners Policy is indivisible, meaning that the liability rate is computed
with the property rate. There is not a separate premium for liability and property
BOP Eligibility:

What are some examples of business that are not eligibile for a Businessowners Policy?
- Automobile sales and servicing operations

- Manufacturing Operations

- Places of amusement

- Household personal property

- 1 or 2 family dwellings

- financial institutions
BOP Eligibility:

What are some examples of business that are not eligibile for a Businessowners Policy?
- Automobile sales and servicing operations

- Manufacturing Operations

- Places of amusement

- Household personal property

- 1 or 2 family dwellings

- financial institutions
BOP Eligibility:

What are some examples of business that are not eligibile for a Businessowners Policy?
- Automobile sales and servicing operations

- Manufacturing Operations

- Places of amusement

- Household personal property

- 1 or 2 family dwellings

- financial institutions
The Businessowners Policy does not require the Common Policy Declarations or the Common Policy Conditions which are used on other Commercial Package Policies. Why is this.
Because the BOP is a prepackaged policy and has its own set of endorsements.
BOP

If the insurer cancels the policy by mail because the building is vacant or unoccupied for 60 or more consecutive days how many days prior to the date of cancellation must notice be mailed?
5 days
BOP; Cancellation by Insurer

Must be mailed or delivered to the insured ___ days prior to the date of cancellation if Failure to pay property taxes owed or outstanding for more than 1 year
5 days
BOP Cancellation by insurer

Must be mailed or delivered to the insured __ days prior to the date of cancellation if
nonpayment of premium is the cause of cancellation
10 days
BOP Cancellation by insurer

Must be mailed or delivered to the insured 30 days prior to the date of cancellation for any
other reason other than certain conditions at the building and nonpayment of premium
Must be mailed or delivered to the insured 30 days prior to the date of cancellation for any
other reason
BOP Cancellation by insurer

What does the insurer have to prove for notification of cancellation of an insured's policy.
Insurer only has to prove that the notice was mailed to the first named insured to the mailing
address on file with the company, not that the notice was actually delivered
BOP: Definition

The insurer has the right to examine and audit the
insured's books and records that relate to the policy at any time during the policy period and for up
to 3 years after the policy is no longer enforce
Examination of Books & Records Condition
BOP: Definition

The insurer has the right, but is not required, to inspect the insured's
premises and operations at any reasonable time during the policy period
Inspections and Surveys Condition
BOP Definitions

What is the name of this condition?

The insured cannot transfer any rights or
duties under the policy to any other person or entity without the written consent of the insurer.
Also, upon death, the insured's rights and duties under the policy are automatically transferred to
the insured's legal representative.
Transfer of Rights and Duties Under the Policy
Definitions

This condition allows the insurer the right to recover its claim
payment from a negligent third party.
Subrogation
Subrogation is also called
Transfer of Rights of Recovery
Transfer of Rights of Recovery can also be called the right of
Subrogation
BOP Definition:
If the insurer adopts any revision that broadens coverage without additional
premium within 45 days prior to or during the policy period, that coverage will immediately apply
to the policy.

This Condition is called?
Liberalization
Definitions

If a loss is covered by other insurance, the insurer will only pay the amount of
the loss in excess of the other coverage, whether or not the insured can collect from the other
insurance
Other Insurance
BOP Definitions

The policy is subject to audit if a premium designated as an advanced premium
is shown in the Declarations. The final premium due will be computed when actual exposures are
determined. The first named insured must keep records of information needed for premium
computation and send copies to the insurer at the insurer's request.

What is this condition called?
Premium Audit
BOP Definitions:

for Business Income Coverage begins 72 hours after the direct loss, or
immediately for Extra Expense Coverage. Ends on the date the property has been repaired or business has resumed.
Period of Restoration
The Businessowners Policy is usually written on a

a. replacement cost basis

b. actual cash value basis
replacement cost basis
Businessowners Property Coverage

Debris Removal - Coverage is provided for up to __% of the direct loss, plus the deductible if reported within ___ days of the loss or the end of the policy period, whichever is earliest
Debris Removal - Coverage is provided for up to 25% of the direct loss, plus the deductible if
reported within 180 days of the loss or the end of the policy period, whichever is earliest
Businessowners Property Coverage

Debris Removal- If the
amount of the debris removal and direct loss exceed the limit of insurance, or if the debris removal
expense exceeds the 25% limitations, the policy will pay an additional $_____ under the debris
removal coverage.
If the
amount of the debris removal and direct loss exceed the limit of insurance, or if the debris removal
expense exceeds the 25% limitations, the policy will pay an additional $10,000 under the debris
removal coverage.
Businessowners Property Coverage

What does "Preservation of Property" coverage do?
Preservation of Property - This coverage, commonly called removal coverage, provides 30 days
coverage for property that is temporarily removed to protect it from damage.
Businessowners Property Coverage

Preservation of Property - This coverage, commonly called removal coverage, provides 30 days
coverage for property that is temporarily removed to protect it from damage.

what is this coverage called?
Preservation of Property
BOP Property Coverage

Fire Department Service Charge - $_____ is included as an additional amount of insurance
Fire Department Service Charge - $1,000 is included as an additional amount of insurance
BOP Property Coverage

Collapse - Collapse of a building is covered if caused by 1 of the specified causes of loss: hidden
decay, insect or vermin, weight of people or property, or use of defective materials if the collapse
occurs during construction. This additional coverage is only included in the ______ form.
special form
BOP Property Coverage

Business Income - Loss of business income is included during restoration following a direct loss
to covered property. Coverage is limited to ____ months following the loss for business income and
___ days following the direct loss for ordinary payroll. This additional coverage is not subject to
the limit of insurance.
Business Income - Loss of business income is included during restoration following a direct loss
to covered property. Coverage is limited to 12 months following the loss for business income and
60 days following the direct loss for ordinary payroll. This additional coverage is not subject to
the limit of insurance.
BOP Property Coverage

Extra Expense - Extra expense is also covered in the Businessowners Policy for up to ______
following a direct loss to covered property. This additional coverage is not subject to the limit of
insurance
12 months
BOP Property Coverage

Pollutant Clean Up and Removal - The policy will pay up to $______ for expenses incurred in a __ month period to extract pollutants from land or water at the described premises, if the pollution resulted from a covered cause of loss and is reported to the insurer within ___ days. This is an additional amount of insurance
Pollutant Clean Up and Removal - The policy will pay up to $10,000 for expenses incurred in a
12 month period to extract pollutants from land or water at the described premises, if the pollution
resulted from a covered cause of loss and is reported to the insurer within 180 days.
BOP Property Coverage

Loss of business income or extra expense that results from action of civil
authority that prevents access to the premises due to a direct loss elsewhere is also covered

what is this coverage called?
Civil Authority
BOP Property Coverage

Civil Authority-Coverage for business income begins __ hours after the action and continues for up to _______
Coverage for business income begins 72 hours after the action and continues for up to 3 weeks
BOP Property Coverage

Civil Authority-Coverage for extra expense begins ________ and lasts for ________ or until the business income coverage ceases, whichever is later
Coverage for extra expense begins immediately and lasts for 3 weeks or until the business income
coverage ceases, whichever is later
BOP Property Coverage

Money Orders and Counterfeit Paper Currency - The policy will also pay up to $______ for losses that occur from the good faith acceptance of counterfeit currency or unpaid money orders
Money Orders and Counterfeit Paper Currency - The policy will also pay up to $1,000 for
losses that occur from the good faith acceptance of counterfeit currency or unpaid money orders
BOP Property Coverage

Forgery and Alteration - Up to $_______ for losses that result from altered or forged checks or
drafts is also covered.
Forgery and Alteration - Up to $2,500 for losses that result from altered or forged checks or
drafts is also covered.
BOP Property Coverage

Business Income From Dependent Properties - Loss of business income due to physical loss or
damage at the premises of a dependent property caused by a covered cause of loss is covered up to
$______
$5,000
BOP

The Business Property Coverage form contains 2 provisions that pertain to automtic increases in coverage.

What are they?
1. Building Limit - Automatic Increase

2. Buisnes Personal Property Limit - Seasonal Increase
BOP: Deductibles

The deductible does not apply to ...
- Fire Department Service Charge

- Fire Extingquisher Systems Recharge Expense

- Business Income

- Extra Expense

- Civil Authority
BOP: Deductibles

The deductible does not apply to ...
- Fire Department Service Charge

- Fire Extingquisher Systems Recharge Expense

- Business Income

- Extra Expense

- Civil Authority
BOP: Deductibles

The deductible does not apply to ...
- Fire Department Service Charge

- Fire Extingquisher Systems Recharge Expense

- Business Income

- Extra Expense

- Civil Authority
BOP

Is "Ordinance or Law" covered?
No
BOP

Is Earth Movement covered?
no
BOP

Is there an "Artificially Generated Electrical Current" coverage?
no
BOP

Is there a coverage for Power Failure?
No
BOP-Selected Endorsements

Hired Auto and Nonowned Auto Liability provides coverage for ...
liability arising out of the use or maintenance of a hired or nonowned auto.
BOP Definition.

What is a Hired Auto?
auto the insured leases, hires or borrows, but not from employees or any partners or executive officers
BOP Definition:

auto the insured leases, hires or borrows, but not from employees or any partners or executive officers
Hired Auto
BOP Definitions

What is a Nonowned Auto?
autos not owned, leased or borrowed by the insured, but used in business.

Example: employee's use of their personal auto for business purposes
BOP Definitions

auto nott owned, leased or borrowed by the insured but used in business
Nonowned Auto
BOP-Selected Endorsements

What is the Protective Safeguards endorsement?
requires the insured to maintain safeguards such as an automatic sprinkler system or fire alarm as a condition for coverage.
BOP-Selected Endorsements

Under the protective safeguards endorsement if the automatic sprinkler system is shut down due to breakage, leakage, feezing or opening of the sprinler heads, the insured has how long to restore the system before they must notify the insurer?
48 hours
BOP-Selected Endorsements

this endorsement provides coverage for direct damage caused by utility service disruption stemming from a covered peril.
Utility Services - Direct Damage
BOP-Selected Endorsements

this endorsement covers the insured's loss of business income or extra expense in the event of a direct physical loss to a utility service.
Utility Services - Time Element
What do personal floaters refer to?
An inland marine policy designed to cover movable property on an all-risk basis anywhere in the world.
Inland Marine

This floater provides coverage to personal property on an all-risk basis anywhere in
the world, as long as the property is not specifically excluded by the policy
Personal Property Floater
Inland Marine

This floater is used to insure certain types of personal property on a scheduled basis.
The types of property that may be covered are usually pre-printed on the form including jewelry, furs,
cameras, musical instruments, fine arts, etc
Personal Articles Floater
Inland Marine

This floater is used to insure personal effects carried or worn by travelers anywhere in
the world, but not while the property is at home
Personal Effects Floater
Inland Marine

What does a Commercial Floater refers to
an inland marine policy desgined to cover movable commercial property, wherever it may be located
Inland Marine

Most of the filed forms include a $____ deductible that applies to any one loss.
$250
Inland Marine

The filed coverage forms are usually written on an _____ risk basis
all-risk basis
Inland Marine

Whay are The Commercial Property Causes of Loss forms not applicable to Inalnd Marine Coverages?
The exclusions are specifically contained in each of the coverage forms.
Inland Marine: Accounts Receivable

Is this a filed form?
yes
Inland Marine: Accounts Receivable

what does this form provide protection for?
losses of accounts due from customers that become uncollectible because of a loss to the insured's accounts receivable records
Inland Marine: Accounts Receivable

Coverage is written with an ____ coinsurance clause
80%
Inland Marine: accounts receivable

In addition to covering accounts due from customers there are 3 additional coverages included; name them
1. interest on loans the insured must take out to offset the impaired collection.

2. expenses the insured incurs to restablish records

3. additional collection expenses that are more than normal.
Inland Marine: Bailee's Customer

this coverage form is used to cover ...
losses to customer's property in the care, custody or control of the insured.
Inland Marine: Bailee's Customer

Is this a filed form?
No each of these coverage forms are unfiled
Inland Marine: Bailee's Customer

what is the Bailee's Customer Policy form
covers loss to customers property without regard to the insured's ligal liability for the loss. covers both bailee and bailor
this coverage form is broader than typical liability coverage.
What is a bailee?
someone that has possession of personal property entrusted to them by the owner.

ie. dry cleaner
Defintions:

someone that has possession of personal property entrusted to them by the owner is known as ...
bailee
Inland Marine: Bailee's Customer

Furriers Block form covers ...
coverage for insureds in the fur business. covers merchandise held for sale and customer's property that the insured has temporary custody of for cleaning, repair, or storage.
Inland Marine: Bailee's Customer

Cleaners, Dryers, and Laundries form
provides protection for insureds in the laundry or dry cleaning business for lsos or damage to customers' property while in their possession.
Inland Marine: Bailee's Customer

Warehouseman's form
covers customers property while it is stored at a warehouse.
Inland Marine: Bailee's Customer

This coverage form is broader than typical liability coverage. It
covers loss to customers' property without regard to the insured's legal liability for the loss. It
covers both the bailee's interest and the bailor's
Bailee's Customers Policy
Inland Marine: Bailee's Customer

this coverage is written for insureds in the fur business. It
covers merchandise held for sale and customers' property that the insured has temporary custody
of for cleaning, repair, or storage.
Furriers Block
Inland Marine: Bailee's Customer

This coverage form provides protection for insureds in the
laundry or dry cleaning business for loss or damage to customers' property while in their
possession.
Cleaners, Dryers, and Laundries
Inland Marine: Bailee's Customer

This bailee form covers customers' property while it is stored at a warehouse.
This coverage form only covers the insured's legal liability for loss or damage to property of
others, and is usually written to apply as excess over other valid and collectible insurance of the
property owner.
Warehousemen's
Inland Marine: Commercial Articles

What is the Commerical Articles form?
filed form that covers the interest of the owners, as opposed to
dealers, of commercial cameras, musical instruments and similar property, including similar property of
others in the insured's care, custody or control
Inland Marine: Definitions

this is a filed form that covers the interest of the owners, as opposed to
dealers, of commercial cameras, musical instruments and similar property, including similar property of
others in the insured's care, custody or control
Commercial Articles Form
Inland Marine: Commercial Articles Form

How does the coinsurance clause found in this coverage form differ from other coinsurance clauses?
It states that all items covered, but not specifically described or listed, must be insured for their total
value at the time of loss to avoid a coinsurance penalty.
Inland Marine: Contactors Equipment Floaters

The Contractors Equipment Floater is an _______ Inland Marine Coverage Form

a. filed

b. unfiled
unfiled
Inland Marine: Contactors Equipment Floaters

This form is used to insure ...
mobile
equipment and contractor's equipment owned, rented or borrowed by contractors (as opposed to dealers).
Inland Marine

This is used to insure mobile
equipment and contractor's equipment owned, rented or borrowed by contractors (as opposed to dealers).
Contractors Equipment Floater
Inland Marine: Contractors Equipment Floaters

The coverage form usually includes coverage for newly acquired equipment for __ days
30 days
Inland Marine: Contactors Equipment Floaters

The coverage form usually includes coverage for newly acquired equipment for 30 days. This coverage
extension is usually limited to __% of the limit of insurance.
25%
Inland Marine: Electronic Data Processing

Is this an filed or unfiled form?
unfiled
Inland Marine: Electronic Data Processing

This form covers what 4 coverages?
1. Computer hardware (specifically scheduled)

2. Data processing media (magnetic tapes, punch cards, discs)

3. Extra expense incured to continue the business following a loss

4. business interruption to cover loss of income when the business is interrupted because of damage to equipment media
Inland Marine:

This form provides the following coverages

1. Computer hardware (specifically scheduled)

2. Data processing media (magnetic tapes, punch cards, discs)

3. Extra expense incured to continue the business following a loss

4. business interruption to cover loss of income when the business is interrupted because of damage to equipment media
Electronic Data Processing
Inland Marine: Equipment Dealers

Is this form filed or unfiled?
filed
Inland Marine: Equipment Dealers

this form covers ...
The stock of mobile equipment and construction equipment dealers, including similar property of others
in the insured's care, custody or control
Inland Marine:

This form insures the stock of mobile equipment and construction equipment dealers, including similar property of others
in the insured's care, custody or control
Equipment Dealers coverage form
Inland Marine: Equipment Dealers

Name 3 types of property not covered under this form
 Automobiles, motor trucks and motorcycles;
 Aircraft and watercraft;
 Accounts, bills, currency, deeds, money, notes, etc.;
 Property during manufacturing;
 Property leased, rented or sold;
 Furniture, fixtures and office supplies;
 Improvements and betterments;
 Machinery, tools, fittings, patterns, molds, etc.; and
 Contraband, or property in illegal trade or transportation
Inland Marine: Equipment Dealers-extension of coverage

what extension of covaerage are also included in this coverage form?
1. Debris Removal

2. Pollution Clean up and Removal

3. Theft Damage to Building
Inland Marine: Installations Floater

Is this form filed or unfiled
unfiled
Inland Marine: Installations Floater

What does this cover?
covers items
such as heating and air-conditioning equipment intended to become a permanent part of the building
Inland Marine

this form covers items
such as heating and air-conditioning equipment intended to become a permanent part of the building
Installations Floater
Inland Marine: Installationos Floater

When does coverage stop?
Coverage ceases when the work has been completed and is accepted by the
ultimate user or owner of the property
Inland Marine: Jewelers Block

is this form filed or unfiled?
filed
Inland Marine: Jewelers Block

what does this form cover?
covers the insured's merchandise
held for sale, and similar property of others in the insured's care, custody or control`
Inland Marine: Jewelers Block

Name 3 types of property not covered
- Property sold under a deferred sales arrangement after it leaves the insured's premises

- property while it is at a public or trade exhibition

- property exhibited in showcases away from the insured's premises

- property being worn (exceptioon is made for watches being worn for the sole purpose of adjustments)

- property in transit by mail (except registered mail)

- property in transit by express carriers

- property in transit by railroad, waterborne or air carriers

- property in transit by motor carrier

- contraband or other illegals
Inland Marine: Jewelers Block

This coverage form offers several optional types of transit coverage if shown on the declarations page. name 2 examples
- carriers operating exclusively as a merchants parcel delivery

- armored car services

- the passenger parcel or baggage service or railroads, passenger bus lines, waterborne or airborne carriers

- registered mail
Inland Marine: Signs

is this form filed or unfiled?
filed
Inland Marine: Signs

what does this form cover?
the insured's signs, including neon, fluorescent, automatic
or mechanical signs, and similar property of others in the insured's care, custody or control
Inland Marine

this form covers the insured's signs, including neon, fluorescent, automatic
or mechanical signs, and similar property of others in the insured's care, custody or control
Signs Coverage Form
Inland Marine: Signs

What is the coinsurance requirement on this coverage form?
100%
Inland Marine: Valuable Papers and Records

What does this cover?
coverage to replace or reconstruct lost
records
What is the limit for valuable papers in the Commercial Package Policy?
$2,500 at each location
coverage to replace or reconstruct lost
records
Valuable papers and records
Inland Marine: Valuable Papers and Records

What is the coinsurance requirement for Valuable Papers and Records?
there is no coinsurance requirement, however, the insured is required to keep the documents in a receptacle described in the Declaration (when not in use)
Inland Marine: Common Carrier Cargo Liability

who is considered responsible for the safe delivery of property
the carrier
Inland Marine: Common Carrier Cargo Liability

what does this cover?
the carrier's legal liability for damage or loss to property in the insured's care and
custody for transportation
this covers the carrier's legal liability for damage or loss to property in the insured's care and
custody for transportation
Common Carrier Cargo Liability
What is a "Bill of Lading"
contract for the transport of goods between the shipper and the carrier.
what is a contract for the transport of goods between the shipper and the carrier
Bill of Lading
When a
regular bill of lading is issued, who will be responsible for the invoice cost of any damaged
property
the carrier
the extent of
responsibility for damage to property during transit depends on whether the carrier is a _____ carrier
or a ______ carrier.
common carrier or contract carrier
Who do common carriers offer their services to?
the public at large
A common carrier issues a document called a __________ evidencing receipt of goods for shipment
Bill of Lading
A common carrier issues a document called a Bill of Lading evidencing ....
receipt of goods for shipment
To limit their liability, a common carrier will issue a _____________ which limits their liability
to a specified maximum dollar amount.
Released Bill of Lading
To limit their liability, a common carrier will issue a Released Bill of Lading which ....
To limit their liability, a common carrier will issue a Released Bill of Lading which limits their liability
to a specified maximum dollar amount.
Contract carriers who agree to service specific clients based upon a pre-arranged agreement are only
liable for damage to cargo when ...
they are negligent
Inland Marine: Motor Truck Cargo Forms

is this form filed or unfiled?
unfiled
Inland Marine: Motor Truck Cargo Policy - Truckers Form

What is this?
used by common carriers that transport goods of others for a fee.
Inland Marine: Motor Truck
Cargo Policy-Shippers/Owners Form

who is insured by this form?
Private carriers, or owners who ship their goods using their own trucks
Inland Marine: Motor Truck
Cargo Policy-Shippers/Owners Form

what is this coverage written for?
Coverage is written for direct damage to the
owner's property
Inland Marine: Transit Coverage Forms

What are the 2 types of transit forms?
- Annual Transit

- Trip Transit
Inland Marine: Transit Coverage Forms

is this form filed or unfiled?
unfiled
Inland Marine: Annual Transit

what is this form used for?
used to insure the property interest of the
shipper or the consignee
Inland Marine

what form is used to insure the property interest of the
shipper or the consignee
Annual Transit
Inland Marine: Annual Transit Form

who uses this form?
businesses that ship goods on a regular basis
Inland Marine

businesses that ship goods on a regular basis would use this unfiled form
annual transit form
Inland Marine: Transit Forms

This form can be written for all outgoing shipments, incoming shipments, or both, which occur during
the policy period
Annual Transit
Inland Marine: Transit Forms

this form is used to cover a specific shipment or
trip.
Trip Transit
Inland Marine: Camera & Musical Equipment:

Dealers of cameras and musical equipment and use this form to insure ...
their stock, including related
equipment and accessories, and to protect customer's property left with them for repair, cleaning or
service
Inland Marine: Camera & Musical Equipment:

Name 3 types of property not covered
- Property sold and delivered

- accounts, bills, etc

- furniture, fixtures and office supplies

- improvements and betterments

- machinery, tools, patterns, molds

- property in the mail (except registered mail or government insured)

- contraband or other illegals
Inland Marine: Physicians & Surgeons Equipment

who does this coverage form protect?
individuals in the medical or dental profession
Inland Marine: Physicians & Surgeons Equipment

What does this form insure?
loss to valuable medical
and dental equipment, materials and supplies, including office equipment and furniture, and similar
property of others
Inland Marine: Physicians & Surgeons Equipment

is this coverage available to hospitals?
Coverage is not intended for hospitals, schools or other institutions
Inland Marine: Physicians & Surgeons Equipment

what is the coinsurance requirement
80%
Inland Marine

individuals in the medical or dental profession that want to protect valuable medical
and dental equipment would need this inland marine form
Physicians and Surgeions Equipment Form
Inland Marine: Film Coverage Form

What can be insured under this form?
Motion pictures, sound tracks and video tapes
Inland Marine

Motion pictures, sound tracks and video tapes may be insured on this form
Film Coverage Form
Inland Marine: Floor Plan Merchandise

what is this form used to insure?
financed merchandise held for sale until the merchandise has been sold.
Inland Marine: Floor Plan Merchandise

whose interest on insured?
Coverage may be written to insure the interests of the merchant, the lender, or both
Property in transit
may also be covered
Inland Marine: Floor Plan Merchandise

Is this reported on a reporting form?
Coverage is written on a reporting form basis that requires the insured to file reports with the insurer
within 30 days after the end of each month
Inland Marine: Floor Plan Merchandise

what happens if the insured has not filed a report at the time of loss
the
insurer will be liable only for 90% of the limit written
Inland Marine: Theatrical Property

what does this form cover?
Theatrical property intended for a specific theatrical production
Inland Marine

this form covers Theatrical property intended for a specific theatrical production
Theatrical Property Form
Inland Marine: Theatrical Property

Give examples of covered property
- secnery

- costumes

- theatrical property
Inland Marine: Theatrical Property

give examples of property not covered
- buildings

- vehicles (unless actually used on stage)

- jewelry made with precious stones, metals

- accounts, bills, etc

- transportation or admission tickets

- animals

- contraband or illegals
Inland Marine: Garment Contactor Floater

what is this form used for?
to protect a clothing business's raw materials and items of
clothing when sent to a subcontractor for work
Inland Marine

this form is used to protect a clothing business's raw materials and items of
clothing when sent to a subcontractor for work
Garment Contractor Floater
Inland Marine: Nationwide Definition

what is this?
a statement about the types of coverage that may properly be
written on Inland Marine and Ocean Marine insurance forms
Inland Marine

what is a statement about the types of coverage that may properly be written on Inland Marine and Ocean Marine insurance forms
Nationwide Defintion
Inland Marine coverage can be written on what type of property?
almost any type of property that is portable
Flood:

what does NFIP stand for?
National Flood Insurance Program
Dwelling Policy

What is Coverage A?
Coverage A - Dwelling
Dwelling Policy

What is Coverage B?
Coverage B - Other Structures
Dwelling Policy

What is Coverage C?
Coverage C - Personal Property
Dwelling Policy

What is Coverage D?
Coverage D - Fair Rent Value
Dwelling Policy

What is Coverage E?
Coverage E - Additional Living Expense
Dwelling Policy

What are the 5 coverages the insured has to select from?
 Dwelling;
 Other structures;
 Personal property;
 Fair rental value; and
 Additional living expenses.
Dwelling Policy

what coverage includes all attached structures and outdoor equipment used to maintain or
service the premises if not covered elsewhere. Any materials or supplies at the described location used
for the construction, alteration or repair of the dwelling are also covered
Coverage A - Dwelling
Dwelling Policy

What coverage covers other separate structures at the same location
Coverage B - Other Structures
Dwelling Policy

What are the restrictions under Coverage B - Other Structures?
the building cannot be used for mercantile,
manufacturing, or farming purposes, and they may not be rented to anyone except a tenant of the main
dwelling
Dwelling Policy

Which Coverage includes personal property commonly found in homes owned by the
insured or other family members.
Coverage C - Personal Property
Dwelling Policy

If property under Coverage A, B or C becomes damaged or destroyed and unfit for normal use, the
policy will pay the fair rental value of the described premises under ...
Coverage D - Fair Rental Value
Dwelling Policy

this coverage is only available if broad or special form Dwelling coverage
is written. It pays for additional living expenses the insured incurs while the described premises is unfit
for use or being repaired.
Coverage E - Additional Living Expense
Dwelling Policy - Other Coverages

this additional coverage will pay for loss or damage to property removed from the insured premises
when threatened by a peril insured against. Perils insured against is converted to "open peril"
coverage during the process of removal. The basic form policy provides coverage for 5 days while the broad and special forms provide 30 days' coverage
Removal
Dwelling Policy - Other Coverages

Removal - The policy will pay for loss or damage to property removed from the insured premises
when threatened by a peril insured against. Perils insured against is converted to "open peril"
coverage during the process of removal. The basic form policy provides coverage for __ days while the broad and special forms provide __ days' coverage
The basic form policy provides coverage for 5 days,
while the broad and special forms provide 30 days' coverage
Dwelling Policy: Other Coverages

Reasonable costs to remove debris after a covered loss is covered
Debris Removal Expense
Dwelling Policy: Selected Endorsements

this is an endorsement that may be added to a Dwelling policy to
increase the amount of insurance by an annual percentage to offset the effects of inflation. This
endorsement requires additional premium.
Automatic Increase in Insurance
Dwelling Policy: Selected Endorsements

if the insured is the owner-occupant of the
dwelling. The endorsement will cover personal property owned by the insured or a resident of the
insured's household caused by theft or attempted theft or for vandalism or malicious mischief that results
from theft or attempted theft. There is no coverage if the premises has been vacant for 30 or more
consecutive days.
Broad Theft Coverage
Dwelling Policy: Selected Endorsements

Broad Theft Coverage: There is no coverage if the premises has been vacant for ___ or more consecutive days
30 days
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$___ for money, bank notes, bullion, gold, silver (excluding goldware and silverware), platinum,
coins and other metals
$200
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$______ for securities, accounts, deeds, evidences of debt, letters of credit, notes other than bank
notes, manuscripts, passports, tickets and stamps
$1,000
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$______ for watercraft and their trailers, furnishings, equipment and outboard motors
$1,000
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$________ for other trailers
$1,000
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$______ for jewelry, watches, furs, precious and semiprecious stones
$1,000
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$_________ for firearms
$2,000
Dwelling Policy: Selected Endorsements - Broad Theft Coverage

$_________ for silver and silver plated ware, gold and gold plated ware, pewter ware, including flatware, hollowware, tea sets, trays and trophies
$2,500
Dwelling Policy:

Who is the Limited Theft Endorsement designed for?
a landlord
Dwelling Policy: Limited Theft Endorsement

$______ for watercraft, including their trailers, furnishing, outboard motors, and equipment
$1,000
Dwelling Policy: Limited Theft Endorsement

$______ for other trailers
$1,000
Dwelling Policy: Limited Theft Endorsement

$_____ for firearms
$2,000
standardized package policy for personal insurance
Homeowners Insurance
The Homeowners Policy is similar to the Dwelling Policy but also includes ...
liability insurance
Homeowners

The dwelling may not contain
more than ___ families nor more than __ roomers or boarders per family.
The dwelling may not contain
more than 4 families nor more than 2 roomers or boarders per family.
Homeowners

Section I covers
Property Coverage
Homeowners

Section II covers ...
Liability Coverage
Homeowners:Coverage Forms

Name the 6 coverage forms
1. HO-2 Broad Form;
2. HO-3 Special Form;
3. HO-4 Contents Broad Form;
4. HO-5 Comprehensive Form;
5. HO-6 Condominium Unit Owners; and
6. HO-8 Modified Coverage Form (used in some states to insure homes that do not qualify for the
other forms, usually because of replacement cost being so much greater than its market value).
Homeowners:Coverage Forms

Which form provides the most limited coverage
HO-8
Homeowners:Coverage Forms

Which forms provide building coverage on a replacement cost basis if the building is insured for 80% or more of its replacement cost?
HO-2, HO-3 and HO-5
Homeowners:Coverage Forms

What form provides building coverage on an actual cash value basis?
HO-8
Homeowners:Coverage Forms

The HO-2 Broad Form Provides protection for losses on an _____ peril basis

a. named peril

b. open peril
named peril
Homeowners:HO-3 Coverage

Building is covered on _________ peril basis


Contents/Personal Property is covered on a _______ peril basis
HO-3 covers personal property only for the
broad perils (HO-2), and the dwelling and other structures are insured on an open-perils basis
Homeowners:HO-5 Coverage

Building is covered on _________ peril basis


Contents/Personal Property is covered on a _______ peril basis
The Comprehensive Form (HO-5) covers both the dwelling and other structures on an open peril basis
It also covers personal property insured under Coverage C on an open peril basis
Homeowners:Coverage Forms

The HO-6 is designed for who?
owner occupant of a condo
Homeowners:Additional Coverages

this coverage will pay reasonable expense for the removal of debris of covered property if a "peril
insured against" that applies to the damaged property causes the loss, or ash, dust or particles from
volcanic eruptions that caused direct loss to a building or property contained in a building.
Debris Removal
Homeowners:Additional Coverages-Debris Removal

If the amount to be
paid for the actual damage to the property plus debris removal expense is more than the limit of liability
for the damaged property, an additional __% of that limit is available for such expense.
5%
Homeowners:Additional Coverages-Debris Removal

The $___ limit is the most Homeowners will pay in any one loss regardless of the number of fallen
trees. No more than $___ of this limit will be paid for the removal of any 1 tree.
The $1,000 limit is the most Homeowners will pay in any one loss regardless of the number of fallen
trees. No more than $500 of this limit will be paid for the removal of any 1 tree.
Homeowners:Additional Coverages-Lawns, Plants, Shrubs and Trees

This is an additional amount of insurance and is limited to a maximum of $___ ($___ for HO-8)
per tree, shrub or plant and a maximum per loss of __% of the amount of coverage on the dwelling. On
forms HO-4 and HO-6 the maximum per loss is __% of the Coverage C limit.
This is an additional amount of insurance and is limited to a maximum of $500 ($250 for HO-8)
per tree, shrub or plant and a maximum per loss of 5% of the amount of coverage on the dwelling. On
forms HO-4 and HO-6 the maximum per loss is 10% of the Coverage C limit.
Homeowners:Additional Coverages

This coverage is provided for up to 30 days for loss or damage to property removed from the
premises to protect it because of endangerment by covered peril
Removal
Homeowners: Additional Coverage

Removal coverage is provided for up to __ days for loss or damage to property removed from the premises to protect it because of endangerment by covered peril.
30 days
Homeowners: Additional Coverage

this coverage is provided to cover the expenses incurred by the insured to make
reasonable repairs to protect property from further damage following loss by a covered peril
Reasonable Repairs
Homeowners: Additional Coverage

will pay up to $500 for liability assumed by agreement for fire
department charges to protect insured property, with no deductible
Fire Department Service Charge
Homeowners: Additional Coverage

Fire Department Service Charge will pay up to $___ for liability assumed by agreement for fire
department charges to protect insured property, with no deductible.
Fire Department Service Charge will pay up to $500 for liability assumed by agreement for fire
department charges to protect insured property, with no deductible.
Homeowners: Additional Coverage

this coverage will pay up to $500 to cover the legal obligation of an insured to pay because of the theft
or unauthorized use of a credit card, electronic fund transfer card, loss caused by forgery of a check, or
loss through acceptance of counterfeit money that duplicates US or Canadian currency, with no
deductible.
Credit Card
Homeowners: Additional Coverage

Credit Card will pay up to $___ to cover the legal obligation of an insured to pay because of the theft
or unauthorized use of a credit card, electronic fund transfer card, loss caused by forgery of a check, or
loss through acceptance of counterfeit money that duplicates US or Canadian currency, with no
deductible.
$500
Homeowners: Additional Coverage

this coverage will pay for breakage of glass or safety glazing material, providing
the dwelling has not been vacant for the prior 60 days before loss by any peril except earth movement.
HO-8 limits this coverage to not more than $100 per loss.
Glass or Safety Glazing Material
Homeowners: Additional Coverage

Glass or Safety Glazing Material will pay for breakage of glass or safety glazing material, providing
the dwelling has not been vacant for the prior __ days before loss by any peril except earth movement.
60 days
Definitions

the abrupt falling down or caving in of a building or any part of a building with the
result that the building or part of the building cannot be occupied for its current intended purpose
Collapse
Homeowners: Additional Coverage

this coverage will pay up to $1,000 for the insured's share of loss assessment charged during the
policy period against the insured as owner or tenant of the residence premises by a corporation or
association of property owners
Loss Assessment
Homeowners: Additional Coverage

Loss Assessment will pay up to $____ for the insured's share of loss assessment charged during the
policy period against the insured as owner or tenant of the residence premises by a corporation or
association of property owners.
$1,000
Homeowners: Additional Coverage

this coverage will pay up to $2,500 for insured's appliances, carpeting and other household
furnishings in each apartment on the residence premises regularly rented or held for rental to others
Landlord's Furnishings
Homeowners: Additional Coverage

Landlord's furnishings will pay up to $____ for insured's appliances, carpeting and other household
furnishings in each apartment on the residence premises regularly rented or held for rental to others
$2,500
Homeowners: Additional Coverages

this coverage allows insureds to use up to 10% of the limit of liability that applies to Coverage A
for the increased cost incurred because of enforcement of any ordinance or law which requires the
construction, demolition, remodeling, renovation or repair of that part of a covered building damaged by
a Peril Insured Against or the demolition and reconstruction of the undamaged part of a covered
building, when that building must be totally demolished because of damage by a peril insured against to
another part of that covered building.
Ordinance or Law
Homeowners: Additional Coverages

Ordinance or Law allows insureds to use up to __% of the limit of liability that applies to Coverage __
for the increased cost incurred because of enforcement of any ordinance or law which requires the
construction, demolition, remodeling, renovation or repair of that part of a covered building damaged by
a Peril Insured Against or the demolition and reconstruction of the undamaged part of a covered
building, when that building must be totally demolished because of damage by a peril insured against to
another part of that covered building.
Ordinance or Law allows insureds to use up to 10% of the limit of liability that applies to Coverage A
for the increased cost incurred because of enforcement of any ordinance or law which requires the
construction, demolition, remodeling, renovation or repair of that part of a covered building damaged by
a Peril Insured Against or the demolition and reconstruction of the undamaged part of a covered
building, when that building must be totally demolished because of damage by a peril insured against to
another part of that covered building.
Homeowners: Additional Coverages

Grave Markers will pay up to $_____ for grave markers, including mausoleums, for loss caused by a
peril insured against, whether on or not on residence premises. This coverage does not increase the
limits of liability that apply to the damaged covered property.
Grave Markers will pay up to $5,000 for grave markers, including mausoleums, for loss caused by a
peril insured against, whether on or not on residence premises. This coverage does not increase the
limits of liability that apply to the damaged covered property.
Homeowners: Property Coverage

All coverage forms include a basic deductible of $___, which applies to all coverages, except the
Fire department service charge and Credit card and forgery coverages. The deductible may be increased
to reduce the premium.
$250
Homeowners: Coverage C - Personal Property

$___ for money, bank notes, bullion, gold, silver (excluding gold ware and silverware), platinum,
coins and other metals
$200
Homeowners: Coverage C - Personal Property

$_____ for securities, accounts, deeds, evidences of debt, letters of credit, notes other than bank
notes, manuscripts, passports, tickets and stamps
$1,500
Homeowners: Coverage C - Personal Property

$_____ for watercraft and their trailers, furnishings, equipment and outboard motors
$1,500
Homeowners: Coverage C - Personal Property

$_____ for other trailers
$1,500 for other trailers
Homeowners: Coverage C - Personal Property

$_____ for theft of jewelry, watches, furs, precious and semiprecious stones
$1,500 for theft of jewelry, watches, furs, precious and semiprecious stones
Homeowners: Coverage C - Personal Property

$_____ for theft of firearms
$2,500 for theft of firearms
Homeowners: Coverage C - Personal Property

$_____ for theft of silverware and silver plated ware, gold ware and gold plated ware, pewterware,
including flatware, hollowware, tea sets, trays and trophies
$2,500 for theft of silverware and silver plated ware, gold ware and gold plated ware, pewterware,
including flatware, hollowware, tea sets, trays and trophies
Homeowners: Coverage C - Personal Property

$_____ for property on the premises used for business purposes
$2,500 for property on the premises used for business purposes
Homeowners: Coverage C - Personal Property

$____ for property away from the premises used for business purposes
$500 for property away from the premises used for business purposes
Homeowners: Coverage C - Personal Property

$_____ for loss of portable electronic apparatus while in a motor vehicle
$1,500 for loss of portable electronic apparatus while in a motor vehicle
Homeowners: Coverage C - Personal Property

$_____ for loss of a portable electronic apparatus used for business purposes while away from the
premises and not in a motor vehicle
$1,500 for loss of a portable electronic apparatus used for business purposes while away from the
premises and not in a motor vehicle