Which loss would be covered under a typical broad form property policy but not under a basic form policy?

Which loss would be covered under a typical broad form property policy but not under a basic form policy?

• A. A large limb from a decaying tree falls onto a building causing damage to the building.
• B. Fire damage to the building caused by faulty wiring.
• C. Flood damage to the building.
• D. Theft of property from the building.

Answer: (A)

Broad form property policies add extra perils beyond what basic form covers. One of these added perils is damage from falling objects. A large limb detaching from a decaying tree and hitting a building fits this category, so the loss would be covered under a broad form policy. Basic form does not include falling-object damage, which is why it wouldn’t be covered there. Fire damage from faulty wiring is a peril already included in basic form, so it wouldn’t demonstrate the difference. Flood damage is typically excluded in both forms unless separate flood coverage is obtained, so it isn’t a distinguishing factor here. Theft might be covered in various endorsements but isn’t the specific added peril that distinguishes broad from basic in this scenario.

Broad form property policies add extra perils beyond what basic form covers. One of these added perils is damage from falling objects. A large limb detaching from a decaying tree and hitting a building fits this category, so the loss would be covered under a broad form policy. Basic form does not include falling-object damage, which is why it wouldn’t be covered there.

Fire damage from faulty wiring is a peril already included in basic form, so it wouldn’t demonstrate the difference. Flood damage is typically excluded in both forms unless separate flood coverage is obtained, so it isn’t a distinguishing factor here. Theft might be covered in various endorsements but isn’t the specific added peril that distinguishes broad from basic in this scenario.