In the Event of a Claim, an Indemnity Value House

question 29

Multiple Choice

In the event of a claim, an indemnity value house and contents policy will:

• A) provide a payout equal to the market value of the loss incurred at the time of the loss.
• B) include the effects of depreciation in establishing a value for the items subject to the claim.
• C) both a and b .
• D) replace all items at their current replacement value.

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Definitions:

Independent Variable

A variable in an experiment or model that is manipulated to observe its effect on a dependent variable.

Predictor Variable

A variable used in statistics and modeling that forecasts or predicts the outcome of a dependent variable, also known as an independent variable.

Second-order Polynomial

A polynomial of degree two, typically expressed as \(ax^2 + bx + c\), which represents a quadratic function.

First-order Polynomial

A mathematical expression of the form ax + b, where a and b are constants, and x is a variable.