Unit 6 Part B Flashcards
(23 cards)
loss settlement condition
covered property losses are valued at ACV but are not to exceed replacement/repair cost
DP-2 and 3 settle losses to personal property at ___; losses to dwelling and other structures are at ___.
ACV
replacement cost basis
our option condition
gives insurer right to repair/replace damage property with material of like kind and quality within 30 days of receiving statement of loss
loss payment condition
the loss will be paid within 60 days after reaching agreement with NI
other insurance condition
is a loss is also covered by other insurance, the company will only pay a portion of the loss
recovered property condition
if NI or insurer recovers property that has been paid for, the other party must be notified and the loss payment adjusted
Coverage L
“personal liability”
cov for damages NI becomes legally obligated to pay; policy minimum limit is $100k
Coverage M
“medical payments to others”
insurer will pay all necessary expenses within 3 years of an accident causing BI on NI’s location. minimum of $1,000 pp
residential theft coverage
not automatically included in a dwelling policy, but can be added through a broad theft or limited theft endorsement. cover theft, attempted theft, vandalism/malicious mischief resulting from theft
broad theft vs limited theft coverage endorsement
broad – only available to owner-occupied dwellings applying to on- and off-premise theft
limited – available for dwellings not owner occupied
exclusions to residential theft coverage (9)
- animals
- credit cards
- property in mail
- aircraft
- other insurance property
- tenant property
- business property
- property in custody of others
- motor vehicles
special limits apply to the following classes of property”
$__ for money or related coins, etc.
$____ for securities, manuscripts, paper property
watercraft, including trailers
trailers not used with watercraft
jewelry, watches, furs, stones
$____ for firearms
silverware/goldware/pewterware
$200
$1,500
$2,500
automatic increase in insurance endorsement
automatically increases dwelling and oth struct coverage at renewal in amount of 4, 6, 8%
dwelling under construction endorsement
attached to provide coverage when intended occupant of a dwelling under construction is the named insured
the limit of liability of a dwelling under construction is the ________ of the ____ ___ based on the value of the ________ _________ _____.
percentage of the policy limit,
partially completed home
mobile home endorsement
allows home and personal property to be insured but requires the home to be on a permanent foundation
all dwelling policies exclude what 7 coverages
ordinance or law
earthquake
flood
war
nuclear
intentional loss
govt seizure
Special Form, DP-3 Coverage
provides open peril coverage to the dwelling, and broad to personal property
DP-2 Broad
DP-1 available coverages (basic, WCSHAVVER, VMM) AND
BIG AFFECT
VMM dwelling coverage does NOT cover (3)
- damage to glass constituting part of a building
- losses by theft, larceny, burglary (but does apply to BUILDING damage)
- vandalism to vacant (60+) building
an insured can also purchase VMM for additional premium, but this coverage must be purchased…
in conjunction with WCSHAVVER
the explosion peril in extended coverages replaced the internal explosion automatic coverage as it…
encompasses both internal explosions and other types of explosions
extended coverage perils (WCSHAVVER) are not automatically included in dwelling policies and can be added for _________ _______.
additional premium
