PROPERTY POLICIES · 5 MIN READ

Dwelling Fire Forms DP-1 Through DP-3

The Dwelling Property program insures residences that do not fit homeowners eligibility, most commonly non-owner-occupied rental dwellings, and it is also the landing place when an owner-occupied home loses homeowners eligibility. The program's three forms form a clean ladder of peril breadth, and the exam tests each rung. The DP-1 Basic Form, unendorsed, covers only three perils on the dwelling: fire, lightning, and internal explosion. Everything the average person associates with property insurance — windstorm, hail, smoke, aircraft, vehicles, riot and civil commotion, volcanic eruption — arrives only through the Extended Coverage endorsement, and Vandalism and Malicious Mischief is yet another separate endorsement. A bare DP-1 without Extended Coverage would pay nothing for hurricane wind damage, which is why DP-1 is reserved for very basic structures or minimum-premium placements. The DP-2 Broad Form covers a full list of broad named perils on both dwelling and contents, adding perils such as falling objects, weight of ice, snow or sleet, and accidental discharge of water. The DP-3 Special Form is the program's flagship: it covers the dwelling and other structures on an open-perils basis, subject to exclusions, while contents remain on named perils, mirroring the HO-3 architecture. Even DP-3's open-perils grant has tested edges: certain perils that are covered for the structure generally are excluded in specific applications, and candidates should study the form's stated exclusions rather than assume everything is covered. Two more layers complete the dwelling picture. Theft is not a dwelling-program peril by default; the DP 04 92 theft endorsement adds limited theft coverage for the landlord's or occupant's property. And across both HO and DP programs, the vacancy provisions punish extended vacancy by restricting perils such as vandalism after the vacancy period runs, unless a vacancy permit endorsement is purchased. On the commercial side the CP 99 60 Vacancy Permit endorsement performs the parallel function, overriding vacancy penalties for a scheduled period.