South Carolina Personal Lines Practice Exam

How does Glass Breakage coverage under an HO policy operate?

1. Covers breakage caused by any peril

2. Covers glass only in vacant buildings

3. Covers glass against perils other than earth movement

4. Covers all types of glass without limitations

The correct answer is: Covers glass against perils other than earth movement

Glass Breakage coverage under a Homeowners (HO) insurance policy specifically provides protection for glass breakage caused by perils that are not related to earth movement, such as earthquakes. This coverage typically helps homeowners replace or repair broken glass features, such as windows and glass doors, contributing to the overall protection of the property. In the context of how this coverage operates, it means that claims for damage to glass that results from most common causes, such as vandalism or theft, would generally be covered. However, since it explicitly excludes coverage for glass breakage caused by earth movement, understanding this limitation is crucial for policyholders. This exclusion impacts the breadth of coverage, narrowing down to events that can be insured under typical homeowner's policies. The other options suggest broader or different scopes of coverage that do not align with the specific nature of Glass Breakage coverage in standard HO policies. For example, the first option implies a universal coverage for any cause, which does not hold true due to the exclusions in place. Similarly, stating that it only covers vacant buildings or that it would cover all types of glass without limitations misrepresents the specific and defined parameters of the coverage that homeowners can expect under an HO policy. Thus, understanding the nuances of what's covered—