Chapter Questions
Why is liability insurance sometimes called thirdparty coverage?
Briefly explain the definition of the term premises as used in the homeowners policy with respect to Section II (liability) coverages.
Who is included within the definition of "persons insured" under Section Il of the homeowners policy?
Briefly describe the coverage provided under the Medical Payments coverage under Section II of the homeowners policy. To whom does the coverage apply? To whom does it not apply?
Jones is playing golf and runs over her partner's foot with a rented golf cart. Will the Personal Liability coverage or the Medical Payments coverage respond for the injury?
What coverage exists under Section II of the homeowners policy for those situations in which the insured feels a moral obligation but where no legal obligation exists?
Jones owns a vicious German shepherd. The dog bites a mail carrier about three blocks away from Jones's premises. Discuss fully the coverage under Section II of the homeowners policy for this occurrence.
Briefly describe the Fire Legal Liability coverage found in Section Il of the homeowners policy. To whom does it apply? What factors create the need for this coverage?
Explain the nature of the personal umbrella liability policy. In your explanation, be sure to point out the relationship of the umbrella to the underlying coverage and the application of the deductible.
Distinguish between a claims-made malpractice policy and an occurrence policy. What factors prompted the development of the most recent of the two?