Pearson VUE: Property Insurance Practice Exam Questions With Complete Solutions
S is purchasing a Commercial Property policy to cover a commercial building with a replacement cost of $100,000. The policy includes an 80 percent Coinsurance clause. To avoid a coinsurance penalty in the event of a partial loss, S should purchase a policy with minimum limits of AT LEAST which of the following amounts? A. $100,000 B. $90,000 C. $80,000 D. $20,000 correct answer: C The MAXIMUM amount a policy will pay in the event of a loss is called the: A. coinsurance amount B. deductible C. limit of liability D. pro rata return correct answer: C The National Flood Insurance Program provides coverage for losses caused by all of the following occurrences EXCEPT:
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pearson vue property insurance practice exam ques
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