Commercial Property Insurance

Question 0

What is the commercial property coverage part?

Answer 0

In addition to the common policy declarations and conditions it includes:

1. Commercial property declarations form
2. Commercial property conditions form
3. One or more commercial property coverage form
4. Causes of loss form
5. And mandatory endorsements

Question 1

What is property insurance?

Answer 1

Insurance on real property such as office buildings, factories, and warehouses, and insurance on business personal property such as furniture, fixtures, machinery, and inventory.

Question 2

What is the commercial property declarations form?

Answer 2

Provides additional info about the premises to be insured and the specific forms that will apply. Also includes the names and addresses of any mortgage holders.

Question 3

What are the commercial property coverage forms?

Answer 3

Contain descriptions of the specific coverages being provided to the business. Each commercial property coverage form defines what property is covered, what property is not covered, how limits and deductibles apply, and what special conditions apply.

Question 4

What are the causes of loss forms?

Answer 4

List the perils that the property is insured against

Question 5

What are the three specific causes of loss forms?

Answer 5

Basic, broad, and special

Question 6

What is the commercial promptly conditions form?

Answer 6

Includes conditions that apply specifically to the commercial property coverages forms

Question 7

What is the control of property condition?

Answer 7

States that an act of neglect of a person beyond the insureds direction or control will not affect the insurance. In addition if the insured violates a condition of the polish with regard to a specific location, the insurance applicable to other locations will not be affected

Question 8

What is the legal action against us condition?

Answer 8

Gives the insured two years from the date that direct physical loss occurred to bring an action against the insurer.

Question 9

What is the other insurance condition?

Answer 9

States that when there is other insurance written on the same basis, the policy pro rates with the other policies. If there is other insurance covering the same loss but subject to a different plan or coverage the policy is excess over the other insurance

Question 10

What is the policy period coverage territory condition?

Answer 10

States that a loss must occur during the policy period and in the coverage territory to be covered

Question 11

What is the transfer of rights of recovery against others to us condition?

Answer 11

Gives the insurance company subrogation rights

Question 12

What is the concealment or fraud condition?

Answer 12

States that the commercial property coverage part if void if the insured intentionally conceals or misrepresents a material fact concerning the coverage part, the covered property, the insureds interest in covered property, or a claim

Question 13

What is the insurance under two or more coverages condition?

Answer 13

Provides that the insurer will not pay more than the actual amount of loss or damage

Question 14

What is the no benefit to bailee condition?

Answer 14

Prohibits a bailee from being reimbursed by the insureds commercial property insurance if the insureds property is damaged or destroyed while in the Bailee’s custody

Question 15

What is the liberalization condition?

Answer 15

States that any revision that broadens coverage without requiring additional premium will automatically apply to the coverage part of the revision is adopted by the insurer during the policy period or within 45 days of the policy’s effective date

Question 16

What is the building and personal property coverage form?

Answer 16

Covers buildings, the insureds business personal property, and the personal property of others located at the business premises.

Question 17

What is stock?

Answer 17

The insureds merchandise. It includes items stored or offered for sale, raw materials for manufacturing, materials in the process of being manufactured, manufactured items, and supplies used in packaging and shipping.