Question

When is property not covered?

a. when it is illegal to insure (such as smuggled goods being held for sale)
b. when it able to be insured more advantageously under other forms (such as money, securities, automobiles, and aircraft)
c. much less susceptible to loss by most of the perils insured against ( such as building foundations below the lowest basement floor or the surface of the ground, retaining walls that are not part of a building, and underground pipes)
d. a. ,b. , and c.

Answer 1

Property is not typically covered by insurance when it is involved in illegal activities, can be insured more beneficially under other policies, or is inherently less susceptible to loss, such as underground constructions. The correct answer is D.

Step-by-step explanation:

Property may not be covered under an insurance policy in a few different scenarios:

• When it is illegal to insure, such as smuggled goods being held for sale.
• It can be insured more advantageously under other forms, such as money, securities, automobiles, and aircraft.
• It is much less susceptible to loss by most of the perils insured against, such as building foundations below the lowest basement floor or the surface of the ground, retaining walls that are not part of a building, and underground pipes.

The correct answer to the question is d. a, b, and c. All mentioned scenarios depict situations where property would not be typically covered by insurance. Understanding these situations is important for those seeking insurance to know what will and will not be protected under their insurance policy.