46) Liability is defined as A) The legal responsibility for the financial cost of gull responsibility for the financial cost of another person's losses or injuries. B) An insurance program for individuals and households. C)Negligence. D) A loss due to physical damage. E) Risk assumption. 47) Homeowner's insurance covers all of the following except A) Personal property. B) Automobiles C) Additional living expenses. D) Personal liability and related coverage. E) Building in which you live and any other structures on the property. 18 48) A policy that supplements your basic personal liability coverage is called a(n) A) Supplementary policy. B) Homeowner's insurance. C) Medical payments coverage. D) Endorsement. E) Umbrella policy. 49) If you have a loss due to a flood, A) Your homeowner's insurance should normally cover the loss. B) You must have already purchased special coverage if you live in an area that has frequent floods in order to be covered. You need an umbrella policy for coverage. D) FEMA (Federal Emergency Management Agency) will automatically provide coverage if this is your second flood loss. E) Your additional living expenses coverage will apply if you move to an area that has not flooded in one year. 50) 50) Sandra is contacting several insurance companies to compare coverage for her home. Which of the following should NOT affect her premium? A) Amount of coverage B) The location of your employer. C) Alarm system D) Type of structure E) Deductible