Property, Casualty and Liability Insurance - Hazard Insurance

Coverage C: Personal Property
Personal property either owned or used by the insured, will be covered- this extends worldwide. While this coverage may be changed, generally the amount of coverage on personal property is 50% of the amount on the dwelling.

  • Animals, birds, and fish
  • Motor vehicles/aircraft
  • Property of tenants
  • Property in apartment rented to another person
  • Business data such as papers, software, or drawings
  • Credit cards and ATM cards

Special limits of liability on certain items:
1) Cash, coins, metals, bank notes- limit of $200 total
2) Property away from the dwelling for business purposes- $250 total
3) Watercraft, furs, stamp collections, watches, jewelry- $1,000 each
4) Firearms- $2,000 total
5) Property at the dwelling used for business- $2,500 each
6) Silverware, gold plated, or pewter ware- $2,500 each

Coverage D: Loss of Use
Loss of use covers the cost of additional living expenses or loss of income in the event of the loss of use of the dwelling. Generally, loss of use is limited to 20% of the amount of insurance on the dwelling.

The three primary benefits provided under Coverage D include:
1) Additional Living Expenses- pays for the necessary increase in living expenses incurred by the insured to continue their normal standard of living.
2) Fair Rental Value- if there are no additional living expenses, the insured will receive a benefit equal to the fair rental value of the property.
3) Prohibited Use- if the property is prohibited for a reason other than damage, the insured may receive additional living expenses or fair rental value.

Coverage E: Personal Liability
Personal liability provides protection for damages for which an individual is legally liable that arise out of bodily injury or property damage- includes the costs of any defense of the claim or suit. The minimum amount of coverage is $100,000 per occurrence. The coverage applies to the insured, family members residing in the residence, and those under age 21 in the care of a family member or the insured.

Specific exclusions for any liability occurring from:
a) usage of aircraft
b) usage of watercraft (unless under 50 hsp or sailboat less than 26')
c) usage of motorized land vehicles
d) business activities
e) controlled substance abuse
f) intentional injury
g) bodily injury to any person eligible for workers compensation
h) war

Coverage F: Medical Payments
Medical payments include coverage for the medical payments to others for injuries that arise even where the insured is not liable for the injury. This coverage does not apply to the insured or the family members in the insured's residence.

Exclusions and Covered Forms of Peril for Homeowners Insurance
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