Answered step by step
Verified Expert Solution
Question
1 Approved Answer
6. Hydro Conduit Company HCC has experienced several losses. Calculate how much the insurer will pay to settle the claims. a. A fire damaged one
6. Hydro Conduit Company HCC has experienced several losses. Calculate how much the insurer will pay to settle the claims. a. A fire damaged one of HCC's storage buildings. The building was insured for $200,000 under a property insurance policy that included an 80 percent coinsurance clause and a $5,000 deductible. The building was valued at $300,000 at the time of the fire. The fire damage was $60,000. How much will the insurer pay to settle this claim? (2 points) b. HCC's business personal property is insured on an actual cash value (ACV) basis. A fire damaged the home office building. A copy machine that was originally purchased for $5,000 was destroyed by the fire. The copier was worth $3,500 at the time of the loss due to depreciation. A replacement copier will cost $7,500. Assuming a $500 deductible applies to this loss, how much will HCC receive from its insurer to settle this claim? (2 points)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started