Registered Insurance Brokers of Ontario (RIBO) Practice Exam

What component is NOT included in standard property insurance?

1. Liability Coverage

2. Additional Living Expenses

3. Dwelling Building

4. Personal Property

The correct answer is: Liability Coverage

Liability coverage is typically not included in standard property insurance policies. Standard property insurance primarily focuses on the physical structure of the property and the personal belongings within it. It provides coverage for risks such as fire, theft, or natural disasters affecting the dwelling and personal property. On the other hand, additional living expenses, dwelling building coverage, and personal property coverage are fundamental elements of most standard property insurance policies. Additional living expenses cover costs incurred if you cannot live in your home due to a covered loss. Dwelling building coverage protects the physical structure itself, while personal property coverage safeguards personal belongings like furniture and electronics. Hence, liability coverage, which addresses claims for bodily injury or property damage to others, is typically a separate component in insurance policies and not part of standard property coverage.