Question

A provision commonly found in liability insurance, thus creating a need for inland marine would be?

1) a valuation provision
2) debris removed
3) a care, control, and custody exclusion
4) a coinsurance requirement

Answer 1

The provision in liability insurance resulting in the need for inland marine insurance is the care, custody, and control exclusion. This exclusion is because liability policies typically do not cover property under the insured's control, leading to the requirement for inland marine insurance.

Step-by-step explanation:

The provision commonly found in liability insurance that creates a need for inland marine insurance is the care, custody, and control exclusion. Liability insurance policies often exclude coverage for property that is under the care, custody, or control of the insured, since these situations involve a higher degree of risk and require specialized coverage. Inland marine insurance provides protection for property in transit, as well as other specified pieces of property that are often excluded by general liability policies, such as mobile equipment and products transported over water.