Final answer:
The coverage for a vacant or unoccupied farm building or structure is typically reduced, according to many insurance policy terms. This is because the risk profile of such properties changes when they are not in active use.
Step-by-step explanation:
If a farm building or structure is vacant or unoccupied, the coverage may vary based on the insurance policy terms. However, in many cases, the typical implication would be B. Coverage is reduced. Insurance policies often have clauses that reduce coverage for buildings that are unoccupied for a certain period, as the risks associated with such properties can be different from those that are actively used. For instance, the risk of vandalism or unnoticed damage can increase when a property is not regularly checked. Therefore, the policy may have specific conditions outlining the extent of coverage or may require a notification if a property becomes vacant to continue insurance coverage.