Which coverage specifically pertains to the personal property losses in an HO-3 policy?

In an HO-3 policy, coverage related specifically to personal property losses is classified as "named perils." This means that the policy explicitly lists the specific risks or perils that are covered when it comes to personal property. If an event is not listed in the named perils section of the policy, personal property losses due to that event would not be covered.

This provides a level of clarity and allows policyholders to understand exactly what risks they are insured against. Named perils are often specified in the policy documents and can include events such as theft, fire, or vandalism.

In contrast, "open perils" coverage applies to the dwelling itself in an HO-3 policy, meaning that it covers any risk of direct physical loss unless specifically excluded in the policy. "Replacement costs" and "actual cash value" relate to how the value of lost or damaged property is calculated or compensated, rather than the types of perils covered for personal property losses.