Dwelling
This coverage insures the main residential structure.
What is Coverage A?
This valuation method pays replacement cost minus depreciation.
What is Actual Cash Value (ACV)?
This causes of loss form provides the broadest commercial property coverage.
What is the Special Form?
Most property policies require the insured to carry a certain percentage of value to avoid a penalty. This is called _____.
What is Coinsurance?
Property that can be touched and physically damaged is known as this type of property.
What is Tangible Property?
Under a Dwelling Policy, detached garages and sheds are covered under this coverage.
What is Actual Cash Value (ACV)?
Flood and earthquake are commonly excluded from standard property policies and usually require this type of policy or endorsement.
What is a separate policy or endorsement?
Coverage that replaces lost income after a covered loss shuts down operations.
What is Business Income Coverage?
An insured carries $160,000 on a building worth $200,000 with an 80% coinsurance requirement. Will they receive a coinsurance penalty?
What is No? (80% × $200,000 = $160,000)
Property of the business such as furniture, tools, equipment, and inventory is called this.
What is Business Personal Property?
Which dwelling coverage protects personal belongings such as furniture, clothes, and electronics?
What is Coverage C (Personal Property)?
This valuation method pays without deducting depreciation.
What is Replacement Cost?
Property that frequently moves from location to location is commonly insured by this type of policy.
What is Inland Marine Insurance?
A building is worth $500,000 and subject to an 80% coinsurance clause. How much insurance should be carried to avoid a penalty?
What is $400,000?
The direct, immediate cause of loss in insurance terminology is known as this.
What is Proximate Cause?
Coverage D in a Dwelling Policy provides reimbursement for this loss.
What is Fair Rental Value or Loss of Rents?
Theft is generally covered under this commercial causes of loss form unless specifically excluded.
What is the Special Form?
A building vacant longer than the policy threshold may experience reduced coverage under this policy condition.
What is the Vacancy Condition?
A building should be insured for $800,000 but only carries $600,000. A $200,000 loss occurs. Using the coinsurance formula, what amount is paid before deductible?
What is $150,000?
The amount deducted from a covered loss before the insurer pays is called a _____.
What is a Deductible?
Under a DP-3, this valuation method is usually applied to the dwelling when policy conditions are met.
What is Replacement Cost?
What are the three major Commercial Property Causes of Loss Forms?
What are Basic, Broad, and Special Forms?
What type of policy would most likely insure a contractor's bulldozer moving between job sites?
What is Inland Marine Insurance?
A building worth $1,000,000 has a 90% coinsurance requirement. How much insurance is required to avoid a penalty?
What is $900,000?
The legal principle designed to restore an insured to approximately the same financial condition after a loss is called _____.
What is Indemnification (Principle of Indemnity)?