Which of the following are covered in fire insurance?

• Valued Policy. This is a fire insurance policy in which an agreement is framed and the insurer undertakes to pay in the event of destruction of property by fire.
• Specific Policy. ...
• Average Policy. ...
• Floating policy. ...
• Excess Policy. ...
• Blanket Policy. ...
• Comprehensive Policy. ...
• Consequential Loss Policy.

• Insurable Interest. Fire insurance demands the insured to have an insurable interest in the property to be insured. ...
• Utmost Faith. ...
• Contract of Indemnity. ...
• Personal Insurance Contract. ...
• Personal Right. ...
• Direct Cause of Loss. ...
• Description of Property.

What is the fire insurance claim?

Fire insurance is a legal contract between an insurance company and the policyholder which guarantees that any loss or damages caused to the policyholder's property in a fire will be paid by the insurance company. Fire insurance provides coverage against incidents of accidental fire, lightning, explosion, etc.

Are covered by fire insurance policy?

Thought it is called 'Fire Insurance', apart from the risk of fire, it also offers cover against lightning, explosion/implosion, aircraft damage, riot, strike and malicious damage, storm , cyclone, typhoon, hurricane, flood and inundation, impact damage, subsidence and landslide including rockslide, bursting and/or ...

What is covered under fire and allied perils?

This covers loss or damage to the insured's properties caused by fire and/or natural calamities like typhoon, lightning, flood and earthquake.

What is fire and allied insurance?

Insurance covering the peril of fire damage to property, as well as extended coverage, which includes perils other than fire, such as windstorm, hail, explosion, riot, etc. along with resultant damage caused by smoke and water.

What perils are covered by a fire insurance contract what other perils may also be covered?

What is fire and extended coverage insurance?

Definition. Extended Coverage (EC) Endorsement — an endorsement to a standard fire policy adding coverage for the following perils: windstorm, hail, explosion (except of steam boilers), riot, civil commotion, aircraft, vehicles, and smoke.

What are the functions of fire insurance?

The function of fire insurance is to make good the financial loss suffered as a result of the fire. It is not the function of fire insurance to replace the economic loss termed the 'fire waste'. Such damage apart from causing financial loss to the owners dislocates the economic activity of the community.

What is fire insurance subrogation?

Subrogation is the transfer of the legal right to recover damages from the insured to the insurer[2]. ... This creates a profit for the insured, thus Subrogation cannot be denied when the contract is one of indemnity, as the insured is, for the Fire Insurance[7].

What are the essentials of fire insurance contract?

There must be actual loss due to fire and the fire must must be accidental. The main elements of a fire insurance contract are: (i) In fire insurance, the insured must have insurable interest in the subject matter of the insurance. Without insurable interest the contract of insurance is void.

What is an example of subrogation?

An example of subrogation is when an insured driver's car is totaled through the fault of another driver. The insurance carrier reimburses the covered driver under the terms of the policy and then pursues legal action against the driver at fault.

Which policy is common in fire insurance Mcq?

Which policy is common in fire insurance and mentions its period of time? Annual policies are common and its period of time is one year.

What is fire insurance and its characteristics?

A fire insurance is a contract between a policyholder and the insurance company in which the insurer agrees to compensate the insured in case of loss or damage happens to a particular property due to fire. The premium is also pre-decided and the insurer compensates for the loss up to the insured amount only.

What extended coverage covers?

Extended coverage include coverage for the perils of windstorm, hail, explosion, riot, civil commotion, aircraft, vehicles, smoke, vandalism, malicious mischief, theft, and breakage of glass.

Which of the following is not covered by extended coverage?

Terms in this set (60) Which of the following perils is not covered under the Extended Coverage Endorsement to the DP-1? Weight of ice, snow or sleet - Weight of ice, snow or sleet is not part of the Extended Coverage perils.

Which of the following is covered under Coverage E of the dwelling policy?

The additional living expenses incurred by the insured while the insured's home is uninhabitable because of a direct loss are provided by Coverage E. The dwelling must be used principally for residential dwelling purposes and MAY be occupied on a seasonal or secondary basis, but it is not required.

Which of the following is covered under a personal auto policy?

A personal auto policy is insurance on your personal vehicle. It may include liability, medical payment coverage, comprehensive, or collision coverage, depending on your policy.

What is not covered under Coverage B?

While Coverage B homeowners insurance's other structures protects the aforementioned items from unexpected perils, there are some exclusions in your coverage. Your policy doesn't protect against earthquakes, floods, sinkholes, normal wear and tear and problems that have been caused by negligence.

What is insurance coverage C?

Personal property coverage, which is Coverage C within home insurance policies, helps to pay for your personal items that have been damaged, destroyed or stolen due to a covered peril. It's standard protection within many home insurance policies and is pivotal to cover those personal items that mean the most to you.

Which of the following may broaden the coverage found in an insurance policy?

Which of the following may broaden the coverage found in an insurance policy? (Endorsements may be used to broaden, as well as restrict coverage set forth in the original policy.)

Which of the following is not covered under the building and personal property coverage form?

Building and personal property coverage form excludes claims for loss or damage to land, water, bridges, roadways, and underground pipes or drains. The policy also excludes any loss to plants, crops, trees and shrubs. ... Vehicles, watercraft, and aircraft—unless specifically named as insured property—are also excluded.