There was a sinkhole that consumed stored lawn mowers. Under which Causes of Loss form(s) would they be covered?

Prepare for the Florida Adjuster Licensing Exam. Engage with challenging questions and insightful explanations. Boost your confidence and ace your exam!

The correct response emphasizes that sinkhole damage falls under the coverage of the Basic, Broad, and Special Forms. Each of these forms provides coverage for different types of risks, and it's essential to understand their distinctions.

The Basic Form typically covers specific perils, including those that can lead to catastrophic damage such as sinkholes. The Broad Form expands on this by providing additional coverage for more risks, which might also encompass complex situations like the structural collapse caused by sinkholes. The Special Form goes even further by providing coverage for risks that are not specifically excluded, ensuring that a wider range of potential damages, such as those from sinkholes, are included.

Thus, in the case of the lawn mowers being consumed by a sinkhole, all three forms are relevant in providing coverage for losses resulting from this peril, aligning with the option that indicates coverage under the Basic, Broad, and Special Forms. This comprehensive coverage is crucial for ensuring that property owners aren't left vulnerable to significant financial losses caused by such natural events.

Subscribe

Get the latest from Examzify

You can unsubscribe at any time. Read our privacy policy