The Functional Replacement Provision in Some Property Insurance Policies Is

question 36

Multiple Choice

The functional replacement provision in some property insurance policies is used when:

• A) replacing a lost item is impossible
• B) replacing a lost item is much cheaper than expected
• C) replacing a building will cost much more than its market value
• D) an insured set of objects is collectively worth more than the sum of its individual components

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Definitions:

Virtues

Qualities considered morally good or desirable in a person, such as courage, justice, and wisdom.

Moral Sense

An innate or developed capacity to distinguish right from wrong and to feel empathy and duty toward others.

The Mean

In philosophy, particularly Aristotelian ethics, it refers to the desirable middle ground or moderation between two extremes.

Courage

The ability to do something that frightens one or the strength in the face of pain or grief.