Which loss is excluded by the basic dwelling form?

The basic dwelling form is designed to cover specific types of risks associated with residential properties but does have exclusions. Loss from earth movement, which includes events such as earthquakes, landslides, and sinkholes, is explicitly excluded from coverage in the basic dwelling form. This exclusion is important because earth movement can cause extensive damage that is often unpredictable and catastrophic, making it a risk that many standard property insurance policies avoid covering.

In contrast, losses due to fire would typically be covered, as fire is one of the primary perils that these policies aim to protect against. Vandalism may also be covered, depending on the specific language of the policy and any endorsements attached. Similarly, theft can sometimes be included in coverage under certain conditions or with additional endorsements. Thus, understanding the types of exclusions found in the basic dwelling form helps in evaluating the adequacy of coverage for a property.