State Farm Fire Independent Policy Practice Exam

Under an HO-3 policy, are temporary repairs covered immediately after a loss?

1. Yes, always.

2. No, they are not covered.

3. Only if approved by the insurer.

4. Only for specific types of damage.

The correct answer is: Yes, always.

Under an HO-3 policy, temporary repairs are indeed covered immediately after a loss. This coverage is crucial because it encourages homeowners to take prompt action to mitigate further damage after an incident, such as a fire, storm, or other covered peril. The purpose of allowing for temporary repairs is to prevent additional losses that could occur if the damage is not addressed quickly, such as water damage from a leak or exposure to the elements. While there may be conditions under which the insurer wants to be informed about the repairs, the fundamental principle of the policy supports the idea that homeowners are allowed to make immediate repairs to mitigate damage, which is beneficial for both the policyholder and the insurer in the long run. This aligns with the overarching goal of homeowners insurance to protect property and limit overall risk and potential losses.