Lisa and Eric Were Notified That Replacement Cost Coverage Is

question 157

Multiple Choice

Lisa and Eric were notified that replacement cost coverage is in effect on a home owner's policy only if the home is insured for at least 80% of its replacement cost.This provision is known as the

• A)Replacement Cost Rule.
• B)80 Percent Rule.
• C)Replacement Cost Provision.
• D)none of the above.

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Definitions:

Fault Line

A fracture or zone of fractures between two blocks of rock, allowing the blocks to move relative to each other, often associated with earthquakes.

Sequences of Rocks

The order and position of layers of rock, indicating their relative ages and the geological history of a region.

North America

A continent entirely within the Northern Hemisphere and almost all within the Western Hemisphere; it is bordered by the Arctic Ocean to the north, the Atlantic Ocean to the east, the Pacific Ocean to the west, and South America and the Caribbean Sea to the southeast.

South Pole

The southernmost point on the Earth's surface, depicted as the point where the Earth's axis of rotation intersects its surface in the Antarctic.