Dwelling PolicyQuestion 126 of 215

An investor owns a duplex rented to two tenant families and wants the broadest property coverage on the building itself. Which dwelling form is the best fit?

a.DP-3 Special Form
b.DP-1 Basic Form
c.HO-4 Tenant Form
d.HO-6 Condo Form

Explanation

A duplex (two-family dwelling) rented to tenants is eligible for the Dwelling Property program because it has four or fewer units. To get the broadest building protection (open-perils with replacement cost subject to 80% coinsurance), the DP-3 Special Form is the best fit. DP-1 is the most limited. HO-4 and HO-6 are tenant and condominium forms designed for occupants, not building owners.

Law Reference: ISO DP-3 Special Form

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