Commercial Property, Businessowners & Crime Insurance

Correct

The answer is C: $750,000, because the $250,000 scheduled additional amount raises the $500,000 limit to $750,000 during the peak period.

CP 12 30 increases the limit of insurance on covered personal property by the additional amount shown in the schedule, at the described location, from the start to the end of each scheduled peak period. December 15 falls inside November 1 to January 31, so the limit is $500,000 + $250,000 = $750,000. The loss equals that limit, so the insurer pays $750,000. The increase is a flat dollar amount for the whole period, not pro-rated, and it adds to the base limit rather than replacing it.

Reviewed in our October 2026 Pennsylvania fact-check.

Correct

The answer is A: At that location, by the values last reported there, which are the first-quarter figures.

Under CP 13 10, if a report after the first is not submitted, payment at a location cannot exceed the values last reported there. The first-quarter report is the last on file, so it caps the payment. The form does not average earlier reports, rely on a later report that does not exist yet, or cancel the policy for a missed report; cancellation is governed by the policy's cancellation condition and Pennsylvania's notice rules.

Reviewed in our October 2026 Pennsylvania fact-check.

Correct

The answer is D: It applies, as excess coverage, because the employee's car is a non-owned auto used in the business.

BP 04 04 adds Hired Auto Liability and Non-Owned Auto Liability to the Businessowners Policy, each when a premium is shown. An employee's personal car used in the business is a non-owned auto, so the business's liability for the pedestrian's injuries falls within the endorsement. ISO writes the coverage as excess liability coverage. It does not depend on the business owning an auto, and it does not exclude employees' cars. It provides no physical damage coverage for the car itself.

Reviewed in our October 2026 Pennsylvania fact-check.

Correct

The answer is B: It covers the loss, because the bonds were inside a safe deposit box that the insured leases.

CR 04 09 covers the insured's securities and other property inside a safe deposit box it leases at a bank or vault company. The box, not the insured's own premises, is the covered location, and a burglary of its contents is the kind of loss the form insures. Coverage does not depend on proof that the bank's security was inadequate, and the form does not exclude theft from the box. The base crime form's other terms and exclusions still apply.

Reviewed in our October 2026 Pennsylvania fact-check.