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Beverly has an HO-3 contract with a $100,000 per occurrence limit on the Liability coverage. She rents out her basement to a college student, and
Beverly has an HO-3 contract with a $100,000 per occurrence limit on the Liability coverage. She rents out her basement to a college student, and the student's personal property is damaged by Beverly's negligence. The student sues her for $3,000. How much will the HO policy pay for this loss?
A. $0 is paid because this liability is excluded.
B. $3,000 is paid because the loss is not excluded.
C. $3,000 is paid under the property section and not the legal liability section.
D. $0 is paid due to the care, custody and control exclusion.
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