Betty's personal property is insured for $100,000 under her Homeowners 3 policy.If she usually keeps some personal property at a mountain cabin that she owns,how much coverage for this property is available under her homeowners policy?

Question

Quizplus · Accepted Answer

The Homeowners 3 policy typically covers personal property owned or used by the insured while it is anywhere in the world. However, there is a limitation for personal property usually located at an insured's residence, other than the residence premises. For such property, the coverage is limited to 10% of the Coverage C limit, or $1,000, whichever is greater. In this case, 10% of $100,000 is $10,000, which is the correct amount of coverage available for personal property usually kept at a location other than the primary residence covered by the policy.

Betty's Personal Property Is Insured for $100,000 Under Her Homeowners