Homeowners Insurance and Personal Articles Floater Flashcard

Front

Which part of a traditional homeowner’s insurance policy typically covers damage to a detached garage?

Back

Other structures coverage

Answer explanation

The damage to Mason's detached garage would typically be covered under the 'Other structures coverage' part of his homeowner's insurance policy, as this coverage is specifically for structures not attached to the main dwelling.

Front

What is NOT typically covered by a condo insurance policy? Options: Attached garages, Detached garages, Personal belongings, Interior walls.

Back

Detached garages

Answer explanation

Detached garages are usually not covered by a condo policy, as they are considered separate structures. In contrast, attached garages, personal belongings, and interior walls are typically included in coverage.

Front

What should Lily base the dwelling coverage amount on when shopping for homeowners insurance?

Back

The cost to rebuild the home and attached structures

Answer explanation

Lily should base the dwelling coverage amount on the cost to rebuild the home and attached structures. This ensures she has adequate coverage to fully restore her home in case of a loss, rather than relying on market value or purchase price.

Front

Which factor does NOT affect the replacement cost of a home? Options: Materials used to build your home, The number of bedrooms, Cost of construction and labor, Square footage of your home

Back

The number of bedrooms

Answer explanation

The number of bedrooms does not impact the replacement cost of a home. Replacement cost is primarily influenced by materials, construction costs, and square footage, not the number of bedrooms.

Front

What is the term for the extra coverage option Sophia can add to her homeowners insurance policy for her expensive jewelry?

Back

An extra coverage option

Answer explanation

The correct choice is 'An extra coverage option' because Sophia can add specific coverage for her jewelry, which is not fully included in her standard homeowners insurance policy.

Front

Emma is reviewing her dwelling insurance policy and wants to add extra protection. Which of the following is a common endorsement she might consider? Options: Flood insurance, Theft insurance, Vandalism coverage, Fire coverage

Back

Flood insurance

Answer explanation

Flood insurance is a common endorsement for dwelling policies, as standard policies often do not cover flood damage. Adding this coverage provides extra protection against water-related risks.

Front

What percentage of Kai's total insurance cost is due to dwelling insurance?

Back

95% to 97%

Answer explanation

Dwelling insurance typically covers a large portion of homeowner's insurance costs. In this case, it accounts for 95% to 97% of the total insurance cost, indicating its significance in the overall policy.

Front

What does dwelling insurance cover?

Back

The home's structure and attached structures

Answer explanation

Dwelling insurance covers the home's structure and any attached structures, ensuring protection against damages to the physical building itself, unlike the other options which focus on limited aspects.

Front

Why is dwelling coverage important for Charlotte after a fire caused significant damage to her home?

Back

It helps pay to repair or rebuild your home after a covered event.

Answer explanation

Dwelling coverage is crucial for Charlotte as it helps pay to repair or rebuild her home after the fire, ensuring she can restore her living space and recover from the damage.

Front

What type of damage is typically excluded from a dwelling insurance policy? Options: Hail damage, Fire damage, Windstorm damage, Flooding

Back

Flooding

Answer explanation

Flooding is typically excluded from a dwelling policy, while hail, fire, and windstorm damages are generally covered. Therefore, flooding is the correct answer as it is not included in standard dwelling insurance.