Title: Define the types of homeowner’s insurance.
Course: Real Estate (12154) > Section: Examining Home Ownership

Explanation should include types of homeowner’s insurance and whether each is optional or mandatory

- fire and hazard insurance
- flood insurance
- hurricane insurance
- condominium insurance
- earthquake insurance
- renter’s insurance
- master insurance
- umbrella insurance
- theft insurance
- vandalism and malicious mischief insurance.

Explanation also should address the concepts of replacement cost, actual cash value, and depreciation, and how coinsurance would be applied to a specific homeowner’s policy.

DPOR correlations: 18VAC135-20-400. 10 (Home ownership); 18VAC135-20-400. 11 (Real property and title insurance)

Process/Skill Questions:

- What is usually included in a basic form homeowner's insurance policy?
- What is covered under a broad form policy?
- Can flood insurance or earthquake insurance be purchased in areas that routinely flood or experience earthquakes? Why or why not?
- What does a condominium insurance policy insure for the homeowner?
- Is a home warranty the same as homeowner’s insurance? Explain.
- What is included in PITI payment?
- Why would it be advantageous to get several quotes for a homeowner’s insurance policy?
- What responsibility does the realtor have in helping the buyer to obtain a homeowners insurance policy?