Which of the Following Statements About the Additional Coverage for Damage

question 24

Multiple Choice

Which of the following statements about the additional coverage for damage to property of others in Section II of the homeowners policy is true?

• A)The maximum amount of coverage is $25,000 per occurrence.
• B)Payments are made on the basis of the replacement cost of the damaged property.
• C)There is coverage for property damage arising out of a business engaged in on a full-time basis by an insured.
• D)There is coverage for intentional property damage by any insured who is a teenager.

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Definitions:

Court Order

A directive issued by a court or a judge requiring a person or entity to do or refrain from doing something.

Accountant-Client Privilege

A legal principle that protects the confidentiality of conversations and documents exchanged between a client and their accountant.

Federal Court

The system of courts at the national level in a country, which deals with legal matters that are under the authority of the federal government.

Common Law

A body of unwritten laws based on legal precedents established by the courts, influencing and governing the decision-making process in novel cases.