The endorsement for water that backs up through a sewer or drain including mechanical breakdown of a sump pump contains which of the following?

A separate stated limit of coverage

A separate stated deductible for covered losses

Both answers are correct

Neither answer is correct

The correct answer is: Both answers are correct.

EXPLANATION:

The endorsement will set a limit of coverage per occurrence for these losses and also impose a stated deductible, which could be less than or greater than the standard deductible for property losses stated on the declarations page. Both the coverage limit and the deductible vary based on each insurer's underwriting guidelines.

All of the following are duties of an insured when filing a claim, EXCEPT:

Providing an adjuster to investigate the claim.

Providing a proof of loss statement.

Preserving the undamaged property to the best of his/her ability to avoid additional loss.

Full cooperation in providing the insurance company with all relevant books and records.

The correct answer is: Providing an adjuster to investigate the claim.

EXPLANATION:

It is the duty of the insurer to investigate the claim. The insured is not obligated to obtain an adjuster. If there is a dispute, the insured has the option of retaining an attorney or hiring a public adjuster.

If a contractor does not properly protect a job site, another person could be injured. This is an example of:

Negligence

A tort

A civil wrong

All of the responses are correct

The correct answer is: All of the responses are correct

EXPLANATION:

All of the responses are correct and is the purpose of the coverage provided by the CGL policy.

Which of the following is not a duty of an insurer in case of a loss?

Conduct a thorough investigation

Establish claim procedures and methods of documentation

Acknowledge receipt of a claim in a timely fashion

Separate the damaged property from the undamaged property and protect the property from further loss

The correct answer is: Separate the damaged property from the undamaged property and protect the property from further loss.

EXPLANATION:

The insurance company is not required to separate the damaged property from the undamaged property nor to protect the property from further loss. This is the responsibility of the insured.