Which of the Following Statements About Buying Homeowners Insurance Is

question 15

Multiple Choice

Which of the following statements about buying homeowners insurance is true?

• A)There is no reason to carry insurance for more than 80 percent of a dwelling's replacement cost.
• B)The deduction for depreciation will be increased if a personal property replacement cost endorsement is purchased.
• C)Premiums often can be reduced substantially by selecting a higher deductible.
• D)There is little reason to compare cost since the lack of competition results in little price variation among companies.

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Definitions:

Positive Reinforcement

A reinforcement contingency through which behaviors followed by positive consequences, are more likely to occur again in the same or similar situations.

Negative Punishment

A behavioral psychology concept where reducing or taking away a desirable stimulus decreases the likelihood of a behavior recurring.

Positive Reinforcement

A motivational technique involving the addition of a reward following a desired behavior, aiming to increase the likelihood of the behavior being repeated.

Operant Conditioning

A learning process derived from behaviorism theory, involving changes in behavior through the use of rewards or punishments.