Question

When the amount of insurance written in a property policy is not subject to any coinsurance provision and that amount is paid in the event of a covered loss, the coverage is said to be written as

1) Actual cash value
2) Specific insurance
3) Stated amount
4) Replacement cost

Answer 1

Specific insurance is the term used to describe coverage in an insurance policy where the amount of insurance written is not subject to any coinsurance provision and is paid in the event of a covered loss.

Step-by-step explanation:

In an insurance policy, when the amount of insurance written is not subject to any coinsurance provision and is paid in the event of a covered loss, the coverage is said to be written as specific insurance. Specific insurance provides coverage up to a specified amount without any coinsurance requirement.