Please explain your answer.
Application Question 2-4. Rest Easy Homes is an age fifty-five-and-over community of attached homes in clusters of two to six homes with a clubhouse and pool, and has an assisted living and skilled nursing care facility within the grounds of the community. The residential units and the clubhouse and pool are a combined ownership real estate development project designated as a planned unit development. The plan documents and bylaws stipulate that unit owners and association interests are to be based on a bare-walls concept. The homeowners association is responsible for insuring the common property and property outside the bare walls of each unit. The Rest Easy homeowners association sponsors a quarterly hobby show in its clubhouse. At its November show, a fire broke out in the clubhouse kitchen that caused damage to the clubhouse walls, ceiling, and kitchen appliances. In addition, some of the unit owners who had provided their own tables and screens in the adjacent activity room to help organize the show suffered damage to their property. a. Describe which of the specialized commercial property coverage forms provides coverage for this hypothetical loss of property. b. Describe which property provision of the Condominium Association Cov- erage Form would cover the clubhouse damages and appliance damages. C. Describe which property provision would cover the unit owners' property damage. Application Question 5-+. Jeff and Maria operate a bike shop in a single-story condominium building with twenty-five units. A windstorm caused extensive damage to many of the units. The damage was insured, but the condominium association's policy had a $50,000 deductible per occurrence. The deductible was too high to be paid from the association's budget, so each unit owner was assessed an equal share of the cost, which was $2,000. Jeff and Maria have the optional loss assessment coverage added to their Condominium Commercial Unit-Owners Coverage Form. The endorsement schedule showed no monetary amount in the policy in force when the loss occurred. After the loss but before the assessment was announced, Jeff and Maria's policy was renewed, and they decided to buy $5,000 loss assessment coverage, which was noted on the endorsement sched- ule. a. Explain what amount of coverage, if any, Jeff and Maria had when the endorsement schedule for their loss assessment coverage showed no amount. Application Question 2-4. Rest Easy Homes is an age fifty-five-and-over community of attached homes in clusters of two to six homes with a clubhouse and pool, and has an assisted living and skilled nursing care facility within the grounds of the community. The residential units and the clubhouse and pool are a combined ownership real estate development project designated as a planned unit development. The plan documents and bylaws stipulate that unit owners and association interests are to be based on a bare-walls concept. The homeowners association is responsible for insuring the common property and property outside the bare walls of each unit. The Rest Easy homeowners association sponsors a quarterly hobby show in its clubhouse. At its November show, a fire broke out in the clubhouse kitchen that caused damage to the clubhouse walls, ceiling, and kitchen appliances. In addition, some of the unit owners who had provided their own tables and screens in the adjacent activity room to help organize the show suffered damage to their property. a. Describe which of the specialized commercial property coverage forms provides coverage for this hypothetical loss of property. b. Describe which property provision of the Condominium Association Cov- erage Form would cover the clubhouse damages and appliance damages. C. Describe which property provision would cover the unit owners' property damage. Application Question 5-+. Jeff and Maria operate a bike shop in a single-story condominium building with twenty-five units. A windstorm caused extensive damage to many of the units. The damage was insured, but the condominium association's policy had a $50,000 deductible per occurrence. The deductible was too high to be paid from the association's budget, so each unit owner was assessed an equal share of the cost, which was $2,000. Jeff and Maria have the optional loss assessment coverage added to their Condominium Commercial Unit-Owners Coverage Form. The endorsement schedule showed no monetary amount in the policy in force when the loss occurred. After the loss but before the assessment was announced, Jeff and Maria's policy was renewed, and they decided to buy $5,000 loss assessment coverage, which was noted on the endorsement sched- ule. a. Explain what amount of coverage, if any, Jeff and Maria had when the endorsement schedule for their loss assessment coverage showed no amount
