South Carolina Personal Lines Practice Exam

Which structure is included under Coverage B of a HO policy?

1. Detached garages

2. Contents within the home

3. Personal liability coverage

4. Loss of use expenses

The correct answer is: Detached garages

Coverage B of a Homeowners (HO) policy pertains specifically to other structures on the property that are not attached to the main dwelling. This includes, but is not limited to, structures such as detached garages, sheds, or fences. The rationale behind Coverage B is to provide protection for these additional buildings that are often located on the same parcel of land as the insured home but are not part of the main residential structure itself. This type of coverage is important as it safeguards the policyholder against losses related to these structures due to perils like fire, wind, or vandalism. By ensuring that detached structures are covered, homeowners can have peace of mind knowing that their additional investments on their property are protected. The other choices pertain to different areas of coverage in a typical homeowners policy. For instance, the contents within the home are usually covered under Coverage C, personal liability coverage falls under Coverage E, and loss of use expenses are addressed in Coverage D. Each of these coverages serves a specific purpose but does not fall under Coverage B, making detached garages the correct inclusion in this instance.