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A Blanket Personal Articles Floater policy covering Stamps and coins for $100,000 is purchased. The insured sends stamps and two rare coins by First Class Mail, which are lost. The stamps and coins are valued $50,000. How much does the policy pay?

User Sefler
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1 Answer

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Final answer:

The policy will pay the full value of the lost stamps and coins, which is $50,000.

Step-by-step explanation:

A Blanket Personal Articles Floater policy covering Stamps and coins for $100,000 is purchased. The insured sends stamps and two rare coins by First Class Mail, which are lost. The stamps and coins are valued $50,000.

A Blanket Personal Articles Floater policy is an insurance policy specifically designed to cover valuable items like stamps and coins. In this case, the policy covers these items up to a limit of $100,000. However, the insured sent the stamps and coins by First Class Mail, and unfortunately, they got lost.

Since the stamps and coins were valued at $50,000, and the policy covers up to $100,000, so therefore the policy will pay the full value of the loss, which is $50,000.

User Veikko
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