Texas General Lines — Property and CasualtyPersonal LinesEasy
A tenant lives in an apartment and wants to insure their personal belongings. Which Homeowners policy form is most appropriate for them?
- AHO-3
- BHO-6
- CHO-2
- DHO-4
Show answer & explanationAnswer & explanation
Correct answer: D. HO-4
The HO-4 policy, known as the 'Contents Broad Form' or 'Renters Insurance', is specifically designed for tenants to cover their personal property and provide liability coverage.
Why the other options are wrong
- A. HO-3 is a Special Form policy for homeowners, providing open perils for dwelling and broad perils for personal property.
- B. HO-6 is a Unit-Owners Form for condominium and co-op unit owners, covering their personal property, structural improvements, and liability.
- C. HO-2 is a Broad Form policy designed for homeowners, covering dwelling and personal property.
HO-4 (Contents Broad Form)
A Homeowners policy form designed for tenants (renters) that provides broad perils coverage for personal property and includes personal liability coverage.
- Does NOT cover the dwelling structure itself, as the tenant does not own it.
- Covers personal property against named 'broad form' perils.
- Includes Coverage C (Personal Property) and Coverage E & F (Liability and Medical Payments).
Memory trick: Each HO form fits a different 'home' owner, from house to condo to renter.