Homeowners Policy (HO)Pregunta 317 de 474
Fire destroys most of an older home and the current code requires the rest be rebuilt to new standards. That extra cost is:
a.treated as an additional living expense
b.paid under the other structures limit
c.excluded by the ordinance or law rule
d.paid in full under the Coverage A limit
Explicación
Section I excludes the increased cost of construction, demolition and repair that comes from enforcing a building ordinance or law, so the dwelling limit responds to the fire damage but not to the upgrade the code demands. Other structures covers detached buildings, and loss of use pays living costs, so neither reaches a code-driven construction cost.
Practica las 474 preguntas gratis — sin registro.
Own the complete Personal Lines Insurance Producer guide — PDF + EPUB, $19.99 →
Preguntas relacionadas de este tema
- One house has a supply line burst and flood a kitchen; another has a pipe that dripped inside a wall for two years. On a broad form:
- A landslide shifts the ground under a house and cracks the foundation. Under Section I the loss is:
- Heavy rain overloads a public sewer and water backs up into a basement. On an unendorsed Homeowners policy the damage is:
- An off-premises transformer fails, a freezer thaws, and the food spoils. On a standard form the food loss is:
- After a small kitchen fire, the owner leaves the roof open to rain for weeks and the damage spreads. The added damage is:
- A city condemns and demolishes a house for a zoning violation. On a Homeowners policy this loss is:
Última revisión: · proceso editorial
Equipo de PrepPass · Verificado con California Personal Lines Insurance License Exam · Cómo revisamos