Tom is planning to build a home. He is weighing many factors, including construction materials, location, and other considerations.
Which of the following statements is true with regard to homeowners insurance and Tom's new home?
A) The higher the construction costs are in the area, the lower Tom's homeowners insurance premiums will be.
B) The lower the homeowners deductible selected, the lower the premium will be.
C) Older homes cost more to insure than newer homes.
D) A wood frame home costs less to insure than a brick home.
Question 2
Which of the following losses would be covered under Section II of an unendorsed Homeowners 3 policy?
A) The homeowner accidentally dropped a bowling ball, injuring another bowler's foot.
B) The homeowner's nanny was injured on her day off while hiking at a state park.
C) The insured slandered a city council member at a city council meeting.
D) The homeowner's dog bit the homeowner's daughter.
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