Mississippi Property & Casualty Practice Exam

Which types of properties can be covered under a dwelling policy?

1. Warehouse, personal property, vehicles, and farm buildings

2. Townhouse, house under construction, permanent mobile homes, rental property

3. Single-family homes, condos, multi-family units, and vacation rentals

4. Commercial properties, industrial sites, and vacant land

The correct answer is: Townhouse, house under construction, permanent mobile homes, rental property

The types of properties covered under a dwelling policy include a townhouse, a house under construction, permanent mobile homes, and rental properties. Dwelling policies are specifically designed to provide coverage for residential properties. This means they can cover structures that are used as residences, whether they are occupied by the owner or rented out. A townhouse fits within the residential classification, as it is a type of single-family dwelling that shares walls with other similar units. A house under construction is also eligible because, regardless of its current state, it is intended to be a residential property. Permanent mobile homes are considered residential structures, as they are intended for long-term housing rather than transient living. Lastly, rental properties are explicitly mentioned in dwelling policies because they provide coverage for dwellings that are rented to tenants, ensuring both the property owner and the tenants are protected. Other options do not align with the types of properties that dwelling policies cover. For example, warehouses and vehicles do not qualify as residential properties, and commercial properties, industrial sites, and vacant land are covered by different types of insurance policies designed for business and commercial operations rather than by dwelling policies focused on residential risk.