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WorksheetsDwelling (DP)
Total questions: 55
Worksheet time: 56mins
Which of the following claims would be covered under the DP-3?
Damage to a fence due to freezing and thawing of ice due to a winter storm
Wind damage to TV antennas
Theft to a dwelling under construction
Damage by vandalism to a dwelling vacant for 30 days before the loss
The DP-2 Broad form EXCLUDES coverage for which of the following perils?
Riot
Smoke
Glass breakage
Theft
The DP-3 Dwelling Form contains all of the following coverages EXCEPT:
Coverage B – Other Structures
Coverage A – Land
Coverage C – Personal Property
Coverage D – Fair Rental Value
A dwelling is insured for $60,000 and its contents for $30,000. According to the DP-1, what part of the insurance may the insured have applied to rental value coverage?
20% of the coverage on the dwelling
5% of the coverage on the dwelling, and a monthly maximum of $250
10% of the policy limits with a monthly maximum of $750
5% of the entire policy with a monthly maximum of $750
What is NOT true regarding the "broad theft coverage endorsement?"
It automatically covers property of roomers or boarders.
This endorsement is available to owner occupants and landlords.
The endorsement provides for specific limits on certain types of property, such as money limited to $200 and jewelry limited to $1500.
It covers against theft of property and damage to the dwelling as a result of the theft.
What piece of personal property would be covered under the dwelling policy
a motorcycle
28-foot motorboat
German Shepherd puppy
pool table
You have a DP-3 covering a home that has a replacement value of $100,000. You carry $60,000 of insurance. Following a loss, you determine that it would cost $12,000 to replace the damaged portion of the home. How much could the insured collect, assuming the ACV of the loss is $6,000?
$12,000
$9,000
$6,000
$60,000
A fire department service charge is payable when the fire department is called to save or protect property from an insured-against peril. The maximum payable amount is
$500 plus the standard policy deductible
$500 with no deductible
$250 with a $250 deductible
$250 with no deductible
A Dwelling Policy would exclude all of the following, EXCEPT:
sinkhole collapse
earthquake
flood
government interference
Replacement cost coverage for the dwelling is available under
the basic and broad forms
the broad and special forms
only the special dwelling form
all dwelling forms
Damage to covered property caused by glass breakage is
covered in the DP-1 form.
covered under all dwelling forms.
covered in the DP-2 and DP-3 forms.
excluded under all dwelling forms.
What statement concerning the Dwelling Property Special Form (DP-3) is NOT true?
The insured may apply 20% of the ""Coverage A"" amount for rental income.
The insured may apply 10% of the ""Coverage A"" amount for farm property.
An extension of 10% of the contents limit is provided while property is off the premises.
The insured may apply 10% of the ""Coverage A"" amount for a detached garage.
The automatic increase in insurance endorsement to the dwelling program
increases contents values throughout the year.
is automatically included for an additional premium.
is referred to as an "inflation guard" endorsement.
is available only for the DP-3.
What is NOT covered under the "dwelling basic" form?
lightning
weight of ice and snow damage
internal explosion
fire
The "broad theft coverage" endorsement does NOT cover
tools, hobby items, and furniture owned by the insured.
property of relatives residing with the named insured.
appliances used for cooking, washing, refrigerating, etc
property of the insured's non-relative, expense-sharing roommate.
What is NOT covered under the DP-1?
outdoor equipment pertaining to the service of the premises and the items located thereon
fixtures pertaining to the service of the premises
trees, shrubs, plants and lawns
building equipment
Under what dwelling form can the insured collect for the replacement cost when the dwelling is destroyed?
DP-1
DP-3
DP-2 and DP-3
All dwelling forms.
What is NOT true regarding the "inflation guard" endorsement?
policy limits are increased pro rata throughout the year
it is an optional endorsement and not automatically included by the insurer
the insured chooses the percentage by which amount the limits will be increased
the endorsement is available for all dwelling forms
What is true regarding the " broad theft coverage?"
It is available for owner-occupant insureds only.
Animals, birds, and fish are covered for theft, but only up to $1,000 per loss.
It automatically covers property of a roomer or boarder.
The insured is required to notify the police if a theft loss occurs.
What must be added by endorsement on the DP-1?
damage caused by a riot
smoke damage
vandalism damage
windstorm loss
Personal liability and medical payments to others would pay for
medical expenses for your son injured in the same accident as your guest.
medical expenses for a roommate injured while mowing the lawn.
damage to the lawn mower and tree that your roommate caused while mowing the lawn.
medical payments to guests for injuries received at your property.
An owner occupant of a dwelling insured by a dwelling policy is eligible for what type of personal theft coverage?
limited theft coverage
no personal theft coverage
either limited or broad theft
broad theft coverage
What is NOT included in all dwelling forms?
reasonable repairs
debris removal
trees, shrubs and other plants
fire department service charges
The coverage limit for a dwelling under construction is the:
Replacement cost of the date of completion
Actual value on the date of completion
Average value during the period of construction
Actual value at specified periods during construction
What is NOT a reason to sell your client a DP-3 as opposed to a DP-1 policy?
to change the settlement on building losses from ACV to replacement cost
to provide liability protection
to provide "all risk" coverage
to increase the perils covered
Coverage for removal to protect is available on the DP-1 and the coverage is
all risk coverage.
limited to jewelry, furs, etc.
ACV.
$1500 coverage.
If an insured with a dwelling policy has other coverage which is true?
The amount of premium earned is prorated to the length of time the policy has been in force.
The proceeds are divided among all those who have an insurable interest at the time of the loss.
The proceeds are divided between the mortgagee and the mortgagor according to their interest in the property.
Losses are payable in the same proportion that this insurance bears to the total amount of insurance in force.
The Basic Form for Dwelling provides:
coverage on a replacement cost basis
coverage for trees shrubs and plants
coverage on a named peril basis
liability coverage for damage caused by the insured
Coverage B - Other Structures - is in addition to limits on all dwelling property policy forms EXCEPT
Special
Basic
Broad
All Risk
What form would provide open peril coverage on a property's contents?
DP-4
DP-2
DP-3
none of them
Jayne has a specified peril policy covering her home. The perils covered include damage caused by fire, lightning, removal, and explosion. Her home is insured for $80,000 with a $500 deductible. After suffering a $16,000 lightning loss, what will Jayne's policy pay?
$15,000
$16,000
$80.000
$15,500
What statement concerning property insurance is correct?
The DP-2 would cover damage caused by rain flooding a cellar through a backed up sewer.
Fire insurance covers smoke from both friendly and unfriendly fires.
Breakage by firemen while attempting to extinguish a fire is covered only in the event of a total loss.
The fire peril on a dwelling covers smoke damage from a hostile fire.
Under the other structures coverage of the broad form of dwelling policy, all of the following are true EXCEPT:
It provides a 10% extension of coverage.
It covers a private garage rented for storage of a car.
It does not provide an additional amount of insurance.
It provides coverage for a tool shed.
Under the doctrine of proximate cause, which would be covered from the fire on a dwelling insurance policy?
smoke damage
damage caused by firemen, smoke damage and water damage
water damage from a sprinkler system
firemen breaking down the door
Which one of the following is eligible property for a dwelling policy?
a six family dwelling
a two family dwelling with the ground floor rented for a dog grooming salon
a four family dwelling
a single family dwelling with the third floor rented to six borders
Which of the following would NOT be eligible for coverage under a Dwelling Policy?
a Duplex
a three family structure with 6 families living in it
a single family residence
a four unit building
Two of the additional coverages provided by Broad and Special dwelling forms are
building collapse and damage to lawns, trees, and plants.
removal and other structures.
other structures and loss of rental value.
debris removal and world-wide personal property.
Mark owns a small one bedroom house that he covers under a DP-1. He has the house insured under Coverage A for $40,000. Mark also rents the house to tenants and his yearly rental income is $10,800. The house is severely damaged in the storm, and is uninhabitable by the tenant for four months. How much will marks DP-1 policy pay him for fair rental value?
$667.00 each month for the four months that the dwelling was uninhabitable.
$8,000 total
$40,000
$10,800
Which of the following dwelling forms provides broad perils coverage for personal property?
DP-2
DP-1
DP-2 and DP-3
DP-1 and DP-2
In order to get replacement cost on the dwelling and other structures on the DP-2 and DP-3, what must the insured do?
have no claims in the past three years
buy an endorsement
insure the property for at least 80% of the cost to replace it
nothing, the coverage is automatic on the DP-2 and DP-3
If the insured covers the dwelling for at least 80% of the cost to replace it, he will receive what settlement option for dwelling damage on the DP-1?
ACV
functional replacement cost
agreed value
replacement cost
What additional coverage comes on the DP-2 and DP-3 but NOT on the DP-1?
contents
glass and collapse of the structure
removal to protect
fire
The additional coverage for fire department service charges is how much on the DP-1?
not available on the DP-1
available only on the DP-2 and DP-3 for $250
available only on the DP-3 for $500
$500
Tom Jackson has a DP-3 on his dwelling property valued at $100,000. He insures the building for $40,000. In the event of a total loss, how much will Tom receive?
$0
$40,000
80% of the loss
ACV of the damaged property
What would NOT qualify for a dwelling form?
eight-unit apartment house
two-unit apartment house
home under construction
home with six boarders
A person wanting to be covered for theft on the premises would purchase only a
broad form theft endorsement.
DP-3.
DP-2.
limited theft endorsement.
George has $40,000 of insurance on his dwelling under form DP-1. Under Coverage B of the form, other structures, he may NOT apply up to 10% of the amount of insurance applying to the dwelling to cover a
private garage rented to a neighbor for storage of the neighbor's automobile.
shed used for the storage of baled hay, neighbor's combine, and other farm machinery.
boathouse where the insured keeps his speedboat.
small building used by the insured for his woodworking hobby.
DP-1 coverage provides a provision for removal of property to avoid further damage of
3 days.
varies by company.
12 days.
5 days.
Fire is named as a covered peril on the DP-1 but NOT for damage done by a friendly fire. What is NOT a friendly fire, and therefore covered?
a grease fire in the kitchen
a fire in the fireplace
the gas stove pilot light
a burning candle
