ber has a Homeowners 3 policy. The dwelling is insured for $70,000 and the replacement cost of the home is $125,000. Indicate whether or not each of the following losses is covered. If possible, determine the dollar amount of the loss that will be covered by Amber's insurance policy. Clearly identify what section e policy is controlling and why the event is either covered or not covered (a) Amber carelessly spills a can of black enamel paint while painting a bedroom. A white wall-to-wall carpet that is part of the bedroom is badly damaged. The actual cash value of the carpet is $700 and the replacement cost of the carpet is $2,500. Amber is on vacation, and a thief breaks into her hotel and steals a suitcase containing jewelry appraised at $3,800, $300 cash, clothes w an actual cash value of $500, and a camera that Amber had borrowed from her neighbor that is worth $100 Lightning causes a fire in the attic. Damage to the house is extensive. The replacement cost of the damaged part of the house is $40,000 and the actual cash value is $30,000. Amber is forced to move to a furnished apartment for three months while the house is being repaired. She spends $1,100 per month for the apartment. During a windstorm, a picket fence with a replacement cost of $5,000 and an actual cash value of $2,000 is destroyed. An elm tree was blown over It will cost $200 to remove the tree from the property and S150 to replace the tree Amber's son is attending college but is home for Christmas break. His stereo is stolen from his dorm room. The replacement cost of the stereo is (b) ith (c) (d) (e) S400, but the actual cash value is only S100. Amber's son admits to police that he left his dorm room unlocked. Amber falls asleep while smoking a cigarette in a rented hotel room. Damage to the room is $2,800. A neighbor's child climbs over Amber's fence and is bitten by the family (f) (g) dog. There are "beware of dog" signs on the fence. The child's medical expenses are $550 Amber's husband ac at the local high school. The other player has medical expenses of $1,500 (h) cidentally injures another player while playing softball ber has a Homeowners 3 policy. The dwelling is insured for $70,000 and the replacement cost of the home is $125,000. Indicate whether or not each of the following losses is covered. If possible, determine the dollar amount of the loss that will be covered by Amber's insurance policy. Clearly identify what section e policy is controlling and why the event is either covered or not covered (a) Amber carelessly spills a can of black enamel paint while painting a bedroom. A white wall-to-wall carpet that is part of the bedroom is badly damaged. The actual cash value of the carpet is $700 and the replacement cost of the carpet is $2,500. Amber is on vacation, and a thief breaks into her hotel and steals a suitcase containing jewelry appraised at $3,800, $300 cash, clothes w an actual cash value of $500, and a camera that Amber had borrowed from her neighbor that is worth $100 Lightning causes a fire in the attic. Damage to the house is extensive. The replacement cost of the damaged part of the house is $40,000 and the actual cash value is $30,000. Amber is forced to move to a furnished apartment for three months while the house is being repaired. She spends $1,100 per month for the apartment. During a windstorm, a picket fence with a replacement cost of $5,000 and an actual cash value of $2,000 is destroyed. An elm tree was blown over It will cost $200 to remove the tree from the property and S150 to replace the tree Amber's son is attending college but is home for Christmas break. His stereo is stolen from his dorm room. The replacement cost of the stereo is (b) ith (c) (d) (e) S400, but the actual cash value is only S100. Amber's son admits to police that he left his dorm room unlocked. Amber falls asleep while smoking a cigarette in a rented hotel room. Damage to the room is $2,800. A neighbor's child climbs over Amber's fence and is bitten by the family (f) (g) dog. There are "beware of dog" signs on the fence. The child's medical expenses are $550 Amber's husband ac at the local high school. The other player has medical expenses of $1,500 (h) cidentally injures another player while playing softball