Dwelling Policy (DP)Question 261 of 474
Why would a producer recommend a special form dwelling policy over a basic form?
a.It adds personal liability and medical payments coverage
b.It costs less because the form names three covered perils
c.It drops the deductible that applies to property losses
d.It insures the dwelling against any peril not excluded
Explanation
The special form's value is its open-perils wording on the building: instead of matching the loss to a listed peril, the insured is covered unless the policy excludes the cause. Neither form includes liability, which is endorsed on, and moving to the special form raises rather than lowers the premium while leaving the deductible in place.
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Related questions on this topic
- A dwelling insured with vandalism coverage has stood vacant well past the period the policy allows when vandals damage it. The loss is:
- The broad form dwelling policy is best described as covering the building against:
- On a special form dwelling policy, personal property is insured against:
- After an unexplained loss to a dwelling written on an open-perils form, the burden of proof:
- Under a dwelling policy, Coverage A pays for damage to:
- A detached garage on the insured premises burns to the ground. A dwelling policy pays the loss under:
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