Question

Frank's computer store lies in the direct path of a rapidly approaching wildfire. In an attempt to diminish possible damages, Frank loads his most valuable computers into a truck and drives them to a remote storage facility. However, as he is unloading the computers, someone hijacks his truck and steals all of the merchandise still inside. What commercial property coverage would indemnify Frank for the theft of the computers?

A. Electronic Data
B. Preservation of Property
C. None
D. Extra Expense

Answer 1

Preservation of Property coverage would indemnify Frank for the theft of the computers.

Step-by-step explanation:

The commercial property coverage that would indemnify Frank for the theft of the computers is Preservation of Property.

Preservation of Property coverage provides compensation for the loss or damage of property caused by theft or other covered perils. In this case, Frank's computers were stolen, so Preservation of Property coverage would apply.

Other commercial property coverages, such as Electronic Data and Extra Expense, would not apply in this scenario as they are not intended to cover theft of physical property.