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:

Wire Surrogate

Reference to an experiment in developmental psychology by Harry Harlow, which showed that infant monkeys preferred a cloth-covered surrogate mother to a wire one, even when the latter provided food, highlighting the importance of comfort and security in attachment.

Attachment Formation

The process by which an emotional bond is developed between a child and a caregiver, significantly influencing the child's social and emotional development.

Goodness of Fit

A term in developmental psychology that describes how well an individual's temperamental traits match the expectations and demands of their social environment.

Bowlby

A British psychologist best known for developing the theory of attachment, which suggests that children are biologically predisposed to develop attachments to caregivers as a means of survival.