Which of the following exclusions applies under the DP 3 policy?

Under the Dwelling Property 3 (DP-3) policy, which provides open perils coverage for dwelling and named perils for personal property, the exclusion that applies is related to smoke damage from agricultural operations. This type of loss is specifically excluded because the policy is designed to cover residential properties rather than properties associated with agricultural activities, which may involve various risks including certain types of smoke damage.

The emphasis on open perils coverage means that the policy will cover all risks of physical loss or damage to the dwelling unless specifically excluded. However, damages resulting from agricultural operations, such as smoke from burning crop residue or other agricultural practices, do not fall under this coverage, thereby making it an exclusion under this policy.

In contrast, damage from floods and theft of personal property would generally not be covered under DP-3, as flood damage typically requires a separate flood insurance policy, and theft may not be covered for all personal property unless specifically indicated in the policy provisions. Fire damage, conversely, is typically covered under the DP-3 policy, assuming it is not resulting from excluded causes. Therefore, smoke damage from agricultural operations is the correct exclusion that applies in this context.