Part III: Case Application and Written Answers (9 marks) (LOX.AL.BI.CI.C.DA 1. The following is an extract from a Home Insurance Policy We "the insurer" will provide cover for loss or damage to your "the insureds" home structure and content caused by fire or storms. But not loss or damage occurring whilst the home has been left unoccupied for over one year or losses resulting from war. We will also cover acts of violent theft or attempted violent theft but not loss or damage caused by your guests, residents or domestic helpers. The sum insured must at all times represent the full cost of replacing the property insured without deduction for wear and tear and depreciation. You and any other person to whom this insurance applies shall take all reasonable precautions to prevent accidents, loss or damage and shall maintain the home in good condition. You shall on the happening of any event likely to lead to a claim under this Policy notify us within 24 hours if any property is stolen or damaged. You must provide a police report or fire department report in the case of theft or fire. a. Identify two perils covered in the policy (0.5 marks) b. Identify two exclusions in the policy (0.5 marks) c. Identify two conditions in the policy (0.5mark) 2. Explain the principle of subrogation and provide an example of how it would be applied (tward)