Which statement is true regarding a homeowners policy?

Which statement is true regarding a homeowners policy?

• A. It provides auto theft coverage
• B. Most include coverage for theft of contents within the home
• C. It excludes liability protection
• D. It covers only damage to the dwelling structure

Answer: (B)

Homeowners policies are package policies that provide not only property protection for the dwelling but also coverage for personal belongings and liability. Theft of contents is a standard part of the personal property coverage, typically extending to items inside the home and often up to a specified limit for off‑premises theft as well. This is different from auto theft, which is covered under an auto policy, not a homeowners policy. The policy also includes liability protection, and it covers more than just the dwelling structure. So the statement that most homeowners policies include coverage for theft of contents within the home is true.

Homeowners policies are package policies that provide not only property protection for the dwelling but also coverage for personal belongings and liability. Theft of contents is a standard part of the personal property coverage, typically extending to items inside the home and often up to a specified limit for off‑premises theft as well. This is different from auto theft, which is covered under an auto policy, not a homeowners policy. The policy also includes liability protection, and it covers more than just the dwelling structure. So the statement that most homeowners policies include coverage for theft of contents within the home is true.