Expensive jewelry is usually insured by a (n)
A.umbrella policy
B.replacment cost rider
C.policy floater
D.named-perilspolicy.
I got C .
I have no idea. Check with your insurance agent or your text.
By the way, it looks like your course is written as an insurance sales brochure.
UHMM OKAY THANK YOU!
To determine the correct answer, we need to understand what each option represents:
A. Umbrella policy: This is a type of insurance that provides additional liability coverage beyond what is included in a basic insurance policy, such as homeowners or auto insurance. It does not specifically cover jewelry or other valuables.
B. Replacement cost rider: This is an additional coverage option that can be added to an insurance policy to ensure that personal property, including jewelry, will be replaced at current market value in the event of loss or damage.
C. Policy floater: A policy floater, also known as a scheduled personal property floater or simply a "floater," is an insurance policy that specifically covers high-value items, like jewelry, that may not be adequately covered under a standard insurance policy. It provides detailed coverage for specified items, often with higher limits and specialized protection.
D. Named-perils policy: A named-perils policy provides coverage only for specific perils or risks that are explicitly listed in the policy. This may not be suitable for insuring expensive jewelry, as it might not cover all possible risks.
From the given options, option C, "policy floater," is the most appropriate choice for insuring expensive jewelry. A policy floater is designed to provide detailed coverage for specific, high-value items like jewelry, ensuring that they are adequately protected against loss, theft, or damage.