Henderson Owned a Concrete Block Building Valued at $20,000

question 21

True/False

Henderson owned a concrete block building valued at $20,000. Because it was virtually fireproof, he insured it for only $10,000 under a policy of insurance which contained an 80% co-insurance clause. Some time later, the building was damaged by fire. Henderson's failure to disclose the true value of the property to the insurer is misrepresentation and would allow the insurer to avoid paying anything to Henderson when the loss occurred.

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Definitions:

Operational Communication

Communication that focuses on the day-to-day running and operations of a business or organization.

Linear Process

A linear process is a sequential procedure that follows a straight, fixed series of steps to achieve a particular outcome or goal.

Communication Problem

Challenges or issues faced during the process of transmitting information from sender to receiver.

Personal Communication

Exchange of information and ideas between individuals through verbal, non-verbal, or written means on a personal level.