FIN 3610 Assignment 11 Name_______________________
Chapters 22 and 23
Please remember that you must do your own work. Any plagiarism will result in a grade of zero for all students involved. Please use your own words even if you are using the textbook for answers. Always provide a citation when a reference is used.
- The Section 1 property coverages provide different types of coverages to an insured. For each of the following coverages, briefly describe the type of coverage provided, and give an example of a loss that would be covered.
- Coverage A: Dwelling:
- Coverage: Other Structures:
- Coverage C: Personal Property:
- Coverage D: Loss of Use:
- Additional Coverages:
- Briefly describe the special limits of liability that apply to certain types of personal property. Why are these special limits used?
- List the major exclusions that are found in Section I of the Homeowners 3 Policy.
- Briefly describe the duties imposed on the insured under a homeowners policy after a property loss occurs.
- A home buyer may obtain a mortgage loan to purchase a house. Explain briefly how the mortgage clause protects the insurable interest of the lending institution (mortgagee).
- Briefly explain the personal liability coverage (Coverage E) in Section II of the homeowners policy and provide an example of a loss.
- With regard to medical payments to others (Coverage F) in Section II of the homeowners policy:
- Briefly explain the coverage that is provided.
- Identify the people who are covered for medical payments.
- Provide an example of a loss under Coverage F.
- List the major exclusions that apply to personal liability (Coverage E) and medical payments to others (Coverage F) in the homeowners policy.
- Indicate whether the following losses are covered under Section II of the homeowners policy. Assume there are no special endorsements. Explain your answers.
- The named insured’s dog bites a neighbor’s child and also chews up the neighbor’s coat.
- A son living at home accidentally injures another player while playing softball.
- A guest slips on a waxed kitchen floor and breaks an arm.
- A neighbor’s child falls off a swing in the named insured’s yard and breaks an arm.
- The named insured accidentally falls on an icy sidewalk and breaks a leg.
- While driving to the supermarket, the named insured injures another motorist with the automobile.
- A ward of the court, age 10, in the care of an insured, deliberately breaks a neighbor’s window.
- The named insured paints houses for a living. A can of paint accidentally spills onto a customer’s roof and discolors it.
- The named insured falls asleep while smoking a cigarette in a rented hotel room, and the room is badly damaged by the fire.
The named insured borrows a camera, and it is stolen from a motel room while the insured is on vacation.