Question

Which of the following is NOT an example of property eligible for coverage under the Outdoor Property coverage extension in a BOP?

Option 1: Fences
Option 2: Outdoor furniture
Option 3: Satellite dishes
Option 4: Underground pipes

Answer 1

Underground pipes are typically not covered under the BOP's Outdoor Property coverage extension, as they are not exposed to the elements, unlike fences, outdoor furniture, and satellite dishes, which are typically included. Option 2 is correct.

Step-by-step explanation:

The student's question concerns the Business Owners Policy (BOP) and specifically the Outdoor Property coverage extension within that policy.

To determine which item is NOT covered under the BOP's Outdoor Property coverage, we need to look at the typical inclusions in such coverage. Generally, a BOP will cover certain types of outdoor property that are at a fixed location and necessary to the business operations.

This includes items like fences, outdoor furniture, and satellite dishes, which are often explicitly listed as being covered. On the other hand, underground pipes are typically excluded because they are not visible or openly exposed to the elements, which is a common requirement for outdoor property coverage. Therefore, underground pipes are not likely to be eligible for coverage under this extension.