South Carolina Personal Lines Practice Exam

Which coverages fall under property coverages in a HO policy?

1. Liability and loss of use

2. Contents and personal liability

3. Dwelling and other structures

4. Medical payments and coverage E

The correct answer is: Dwelling and other structures

In a homeowners (HO) policy, property coverages specifically refer to the types of protection that cover physical structures and personal property within the home. The correct choice encompasses two main components: the dwelling, which refers to the primary structure where the insured resides, and other structures, which includes additional buildings on the property such as garages, sheds, or fences. These coverages are crucial as they protect against various risks, including damage due to fire, theft, vandalism, or certain natural disasters. The distinction of property coverages is significant because it differentiates from liability coverages, which protect the insured from claims of bodily injury or property damage to others. The other choices include elements that either do not pertain to property coverage directly or represent aspects of coverage that relate to liability or additional living expenses rather than physical property itself. Understanding this distinction is vital for comprehensively analyzing a homeowners insurance policy.