WebCe - Commercial Properties exam 2024 with complete solutions

A tornado severely damages one of Major Manufacturing's plants. As a result of the damage, Major Manufacturing is forced to curtail its operations during the 6 months needed to complete repairs. The resulting loss of income suffered by Major Manufacturing is referred to as correct answersa time element loss. Which of the following describes a feature of standard commercial property policies? correct answersSeveral different forms must be combined to make up a policy. The president of Handy Corner Grocery has just learned that its accounting clerk has been embezzling money from the company for the past 6 months. Handy has a standard commercial property policy, a standard commercial general liability policy, and a workers compensation and employers liability policy. Which of these policies covers this loss? correct answersNone of these policies cover the loss An insurance company that specializes in coverage for religious institutions publishes its own policy forms that provide broader coverage than the ISO forms. This insurer's forms would not be referred to as correct answersstandard forms. Duffy's Tavern is currently insured under a commercial package policy that includes only commercial property coverage and commercial general liability coverage. Duffy would like to add coverage for equipment breakdown. This can be done by correct answersadding either a separate equipment breakdown policy or an equipment breakdown coverage endorsement to Duffy's commercial property policy. A small fire in the Dalton Hotel basement damaged the computerized system that controls all elevators in the hotel. It will be necessary-and costly-to completely reprogram the system to replace the lost data. Dalton has a commercial property policy that correct answerscovers this loss because electronic data that is integrated with the elevator system is not excluded. A building owned by Mega Properties has been continuously vacant for 6 months. In the seventh month, a lightning strike starts a fire which destroys the building. Assuming that Mega's commercial property policy is written on standard forms, how much would the insurer reduce the loss payment because of the vacancy of the building? correct answersThe insurer would discount the loss payment by 15 percent because the building was vacant.