Question
Your Building and Business Personal Property policy includes the following information: You carry Building Coverage = $200,000 limit of insurance You carry Business Personal Property
Your Building and Business Personal Property policy includes the following information:
You carry Building Coverage = $200,000 limit of insurance
You carry Business Personal Property = $75,000 limit of insurance
Your Deductible = $1,000
Coinsurance Percentage on Building = 80%
At the time of loss, it is determined that the replacement cost valuation of your building is actually $250,000
You incur a loss/damage as follows:
Building damage = $50,000
Business Personal Property = $10,000
Given this information, please calculate the following:
a- How much will the insurer pay for the building damage?
b- How much will the insurer pay for the business personal property damage?
Step by Step Solution
3.41 Rating (154 Votes )
There are 3 Steps involved in it
Step: 1
a 80 of the replacement cost of the building 08 x 250000 200000 Since the limit of insurance for bui...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 StartedRecommended Textbook for
Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
Students also viewed these Finance questions
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
View Answer in SolutionInn App