Endorsements & Optional CoveragesQuestion 88 of 474
An insured with an HO-3 policy adds a Scheduled Personal Property endorsement for her jewelry collection. Which statement BEST describes the coverage provided for the scheduled jewelry?
a.Coverage is on an open-perils basis, applies worldwide, typically has no deductible, and includes mysterious disappearance
b.Coverage pays the scheduled amount only after the policy's $1,500 special limit on theft of jewelry has first been exhausted by the loss
c.Coverage applies only to the perils named in the underlying HO-3 contents form, and each scheduled item is subject to the policy's standard $1,000 deductible
d.Coverage is limited to losses that occur inside the residence premises, and the jewelry must be kept in a listed safe or bank vault whenever the insured is away from home
Explanation
Scheduled Personal Property removes the unscheduled special-limit cap on jewelry. Each item is listed and appraised. Coverage is generally on an open-perils ("all risk") basis with no deductible, applies worldwide, and notably includes mysterious disappearance, which the base HO contents form excludes.
Law Reference: ISO HO 04 61 Scheduled Personal PropertyThis topic, taught in full in the Personal Lines Insurance Producer guide. Personal Lines Insurance Producer — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
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