In the case of a past due report on the value reporting form, the insurance company typically pays 75% of what would have been covered if the report were timely (Option C).
The value reporting form typically requires the insured to report values periodically, and failure to report can have consequences for the treatment of losses. In the scenario described, where no report has been made and a report is past due, the treatment of losses is often governed by the terms outlined in the policy.
Among the provided options: C. Company pays 75% of what would have been paid if a report were made.
This option suggests that in the absence of a timely report, the insurance company would still provide coverage for losses but at a reduced rate, specifically 75% of what would have been paid if the report had been made on time.
It is crucial for policyholders to adhere to reporting requirements to ensure full coverage and to be aware of any penalties or reductions in coverage that may result from delayed reporting.
Option C) Company pays 75% of what would have been paid if report made is correct.