West Virginia Property and Casualty Licensing Practice Exam

Under an HO-3 policy, who is eligible for medical expense coverage under Coverage F?

1. Anyone who resides in the home

2. Only family members

3. Anyone who is invited onto the property and is injured while there

4. Neighbors living nearby

The correct answer is: Anyone who is invited onto the property and is injured while there

Medical expense coverage under Coverage F in an HO-3 policy is designed to provide coverage for injuries sustained by individuals who are not considered insureds under the policy. This typically includes anyone who is invited onto the property and is injured while there. The goal of this coverage is to address small medical claims without requiring the injured party to file a lawsuit for negligence. This type of coverage is often referred to as "guest medical coverage," enabling homeowners to assist their guests with medical expenses resulting from an accident occurring on their property. It is particularly useful in fostering good neighborly relations by covering minor injuries that do not rise to the level of a liability claim. In contrast, the other options do not reflect the specific intent of Coverage F. While those residing in the home or family members would typically be covered under different aspects of the policy, such as liability coverage, Coverage F specifically targets individuals who are visiting the property. Similarly, neighbors living nearby may not be covered unless they are invited onto the property and sustain an injury there. Thus, the proper interpretation revolves around the premise that Coverage F is focused on providing assistance to guests who suffer unexpected injuries while on the insured's premises.