Question

Which homeowners form would give the client open peril coverage on both their dwelling and personal property under their homeowners policy?

1) Form 1
2) Form 2
3) Form 3
4) Form 4

Answer 1

Form 3 would give the client open peril coverage on both their dwelling and personal property under their homeowners policy.

Option C is answer.

Step-by-step explanation:

Homeowners insurance forms dictate the coverage provided. Form 3, known as the "Special Form," typically offers open peril coverage on the dwelling and personal property. Open peril coverage is broad and protects against all perils except those specifically excluded in the policy. This form is often considered comprehensive, providing a higher level of protection compared to other forms.

Forms 1, 2, and 4 have different coverage structures. For example, Form 1 is a Basic Form, providing coverage for a specific list of named perils, while Form 2 is a Broad Form with more extensive coverage than Form 1 but less than Form 3. Form 4 is commonly known as the Contents Broad Form, primarily focusing on personal property coverage.

Option C is answer.