Homeowners Section I Coverage Questions

HO-3 Section I: Property Coverages

Coverage A: Dwelling (open peril)

Coverage B: Other Structures (open peril)

Coverage C: Personal Property (named peril)

Coverage D: Loss of Use

Additional Coverages

Sam and Sally Green have a standard HO-3 homeowners policy with no endorsements. The dwelling is insured for its full value. Indicate whether or not each of the following losses is covered and under what coverage. Specify why each loss is covered or not covered.

1. The Green's valuable dog is stolen from their back yard.

2. Sally takes off her wedding ring in a public restroom to wash her hands. She accidentally leaves the ring behind.

3. While the Green's are vacationing in Europe, their hotel room is robbed. The thief gets away with jewels and cash.

4. While practicing his chip shot in the yard, Sam accidentally sends a golf ball crashing through the dining room window.

5. Sally carelessly spills a can of paint on her wall-to-wall living room carpet. The carpet is ruined and must be replaced. (Note: wall-to-wall carpet is considered part of the dwelling.)

6. A delivery truck accidentally backs into the garage door and damages it.

7. An electrical fire causes extensive damage to the Green's home. Sam and Sally are forced to live in a hotel for a month while their home is repaired.

8. Smoke from a nearby industrial operation damages the Green's freshly painted home.

9. While the Green's son is home from college for Thanksgiving break, his computer is stolen from his dorm room.

10. Lightning strikes a tree in the Green's front lawn, killing the tree.

11. An earthquake hits the Green's neighborhood and causes fires. The Green's home is damaged by the earthquake itself, and their tool shed is destroyed by one of the fires.

12. The Green's car is stolen from their garage.

13. The compressor in the refrigerator breaks and must be replaced.

14. The Green's little boy leaves his bicycle in the middle of the driveway for about the millionth time. To teach Junior a lesson, Mr. Green purposely backs over the bicycle with his car.

15. Sally begins filling the bathtub, then goes to answer the phone. By the time she returns, the tub has overflowed, causing extensive damage to the kitchen ceiling.

16. A tornado severely damages the roof of their home.