Which of the Following Statements About the Coverage for Other

question 28

Multiple Choice

Which of the following statements about the coverage for other structures (Coverage B) under the Homeowners 3 policy is true?

• A) The coverage applies to a detached garage or tool shed on the residence premises.
• B) Structures attached to the dwelling by a fence or utility line are considered to be part of the dwelling rather than other structures.
• C) Coverage applies even if the other structure is used for business purposes.
• D) There is no coverage for a private garage if it is rented to a tenant of the dwelling.

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Definitions:

Property Tax

A tax on the value of property (capital, land, stocks and bonds, and other assets) owned by firms and households.

Transfer Payments

Transfer payments are financial distributions that do not directly correspond to the receipt of goods or services, such as welfare benefits or government subsidies.

Exhaustive

Involving an extensive and thorough examination or analysis of a subject or thing, leaving no part overlooked.

Funds Flow

The movement of money into and out of an organization, project, or financial product, typically analyzed for assessing financial health.