ch.7-Co insurance clause

Question 1

co insurance formula

Answer 1

[(Did/should) X loss] - Deductible Should= value of bldg. X co-ins %

Question 2

Notes for co-insurance

Answer 2

• Only for partial losses
  
  • a loss less then amount of insurance carried / paid for
• if building insured for full amount , NOT CO INSURANCE
• If loss MORE than amount carriedd–> insured get policy limit they paid for (loss to them)
• remember: gtake % of bldg value of building or contents