Question

Widget Enterprises wants property insurance for a new warehouse it is building. Widget also wants the policy's limit of insurance to gradually increase as the value of the building under construction increases. Which Commercial Property coverage form would best fill Widget's needs?

a) Basic form
b) Broad form
c) Special form
d) Builders risk form

Answer 1

The Builders risk form would be the best Commercial Property coverage form for Widget Enterprises' needs.

Step-by-step explanation:

The Commercial Property coverage form that would best suit Widget Enterprises' needs is the Builders risk form. This form provides coverage specifically for property under construction. It is designed to cover the building during the construction period, including potential hazards such as fires, theft, or vandalism. The policy limit of insurance can be tailored to increase as the value of the building under construction increases.