CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: The following coverages are provided in addition to the limit of insurance
Answer:
1. Interruption Of
Computer Operations Additional Coverage
2. Newly Acquired Locations Coverage Extension
Q: 3.7 Learning Objective: Describe how the four Loss Conditions apply to
Answer:
the amount of loss payment. 1. Appraisal
2. Duties In The Event Of Loss
continue your business as soon as possible
3. Loss Determination
4. Loss Payment
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Payroll Limitation Or Exclusion CP 15 10 10 12
Answer:
This endorsement allows the payroll
component to be tailored to limit coverage to a
specified time period, to specified employees or job classifications, or to exclude
payroll
entirely for all employees and job classifications.
Q: Discretionary Payroll Expense CP 15 04 06 07
Answer:
This endorsement allows the Named Insured
to continue to pay their payroll expenses
regardless of whether such expenses are necessary to resume "operations." This
endorsement lists employees or job classifications that will be deemed necessary and
states
that coverage can be limited to a maximum number of days.
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Loss Determination for Extra Expense
Answer:
All expenses that exceed the normal
operating expenses that would have
been incurred if the loss or damage
Q: had not occurred, minus
Answer:
the salvage value of property
bought for temporary use;
extra expenses paid by other
insurance unless that other
insurance is written under the same
terms and conditions. (If the other
insurance is written under the same
terms and conditions, the policy
would share coverage on a pro-rata basis.)
Extra Expenses incurred that reduce the amount of the Business Income loss would
be paid under Extra Expense coverage.
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: loss payment
Answer:
All expenses that exceed the normal
operating expenses that would have
been incurred if the loss or damage
had not occurred, minus:
the salvage value of property
bought for temporary use;
extra expenses paid by other
insurance unless that other
insurance is written under the same
terms and conditions. (If the other
insurance is written under the same
terms and conditions, the policy
would share coverage on a pro-rata basis.)
Extra Expenses incurred that reduce the amount of the Business Income loss would
Q: be paid under Extra Expense coverage.
Answer:
Solutions | Latest 2026 Update
Q: The following coverages are provided in addition to the limit of insurance
Answer:
1. Interruption Of
Computer Operations Additional Coverage
2. Newly Acquired Locations Coverage Extension
Q: 3.7 Learning Objective: Describe how the four Loss Conditions apply to
Answer:
the amount of loss payment. 1. Appraisal
2. Duties In The Event Of Loss
continue your business as soon as possible
3. Loss Determination
4. Loss Payment
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Payroll Limitation Or Exclusion CP 15 10 10 12
Answer:
This endorsement allows the payroll
component to be tailored to limit coverage to a
specified time period, to specified employees or job classifications, or to exclude
payroll
entirely for all employees and job classifications.
Q: Discretionary Payroll Expense CP 15 04 06 07
Answer:
This endorsement allows the Named Insured
to continue to pay their payroll expenses
regardless of whether such expenses are necessary to resume "operations." This
endorsement lists employees or job classifications that will be deemed necessary and
states
that coverage can be limited to a maximum number of days.
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: Loss Determination for Extra Expense
Answer:
All expenses that exceed the normal
operating expenses that would have
been incurred if the loss or damage
Q: had not occurred, minus
Answer:
the salvage value of property
bought for temporary use;
extra expenses paid by other
insurance unless that other
insurance is written under the same
terms and conditions. (If the other
insurance is written under the same
terms and conditions, the policy
would share coverage on a pro-rata basis.)
Extra Expenses incurred that reduce the amount of the Business Income loss would
be paid under Extra Expense coverage.
, CIC-Commercial Property Questions and Answers with Verified
Solutions | Latest 2026 Update
Q: loss payment
Answer:
All expenses that exceed the normal
operating expenses that would have
been incurred if the loss or damage
had not occurred, minus:
the salvage value of property
bought for temporary use;
extra expenses paid by other
insurance unless that other
insurance is written under the same
terms and conditions. (If the other
insurance is written under the same
terms and conditions, the policy
would share coverage on a pro-rata basis.)
Extra Expenses incurred that reduce the amount of the Business Income loss would
Q: be paid under Extra Expense coverage.
Answer:
