A coinsurance clause requires the insured to maintain insurance on the covered property up to a certain amount or a certain percent of the value,generally 80 percent.

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This statement is true. A coinsurance clause typically requires the insured to maintain insurance coverage on the property up to a certain percentage of its value, often 80 percent. Failure to maintain this coverage may result in a penalty or reduction in the amount of any claim payment.

A Coinsurance Clause Requires the Insured to Maintain Insurance on the Covered