Which of the following is correct regarding a coinsurance clause in a property insurance policy?

Multiple Choice

It prohibits the insured from obtaining an amount of insurance which would be less than the coinsurance percentage multiplied by the fair market value of the property.

It will result in the insured sharing in partial losses when the insured has failed to carry the required coverage under the coinsurance clause.

It permits the insured to receive an amount in excess of the policy amount when there has been a total loss and the insured carried the required coverage under the coinsurance clause.

It encourages the insured to be more careful in preventing losses since the insured is always at least partially at risk when a loss occurs.