Back to Assignment Attempts Average no score out of 5/ 5 3. The form and format of the homeowner's insurance policy What are the different forms of the homeowners policy? Homeowners have four forms of homeowners policies (HO-1, HO-2, HO-3, and HO-8), whereas renters and owners of condominiums have two forms (HO-4 and HO-6). Although there are differences in the coverages provided by the different policies, their formats tend to be the same. Consider the following statements regarding the format of a homeowners policy. 1. Homes made of brick located in areas with low crime rates and frequent fire hydrants are more likely to experience relatively high premiums, all other things being equal. 2. Section II of the homeowners policy applies to the dwelling, adjacent structures, and the insureds personal property. 3. A homeowners policy also protects the trees, plants, and lawn around an insureds home against certain perils. 4. Comprehensive policies provide protection against all perils except for those that are specifically excluded. 5. An HO-8 policy protects your personal property against the same covered perils as are specified in the HO-1 policy. The following statements are true:

Statements 2, 3, and 4 Statements 1, 3, and 4 Statements 1, 2, 3, and 5 Statements 3, 4, and 5 Comprehensive personal liability coverage is provided under of the homeowners policy. Although it protects against nearly any source of liability resulting from negligence, there are exclusions, including incidents involving the following:

Libel, slander, or defamation of character Large dogs, snowmobile accidents, and swimming pool accidents Which of the following are coverages provided by Section II of the homeowners policy? Check all that apply.

The costs of injuries from intentional harm The cost of defending the insured homeowner The reasonable expense incurred by the homeowner in assisting in the insurance companys defense Contractual wrongdoing Consider the following situations and, based solely on the information given, indicate the most appropriate form of homeowners policy or supplemental floater. Situation Recommended Policy This policy is often recommended for older houses whose replacement costs are significantly greater than their market values. This policy is not often recommended because its list of covered perils is relatively limited. This policy is recommended for policyholders living in a rental house, apartment, or other dwelling. An individual who owns an extensive art collection or furs or fine art that is worth more than the traditional coverage provided by Part C of the homeowners policy receives better protection using which of the following insurance products?

A blanket personal property floater A scheduled personal property floater An HO-8 policy