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A coinsurance clause provides that two or more people will receive payment on a claim under the same insurance policy.

A) True
B) False

Correct Answer

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Myles obtains a business liability insurance policy from Nova Insurance Company for Myles's Hydraulics & Transmission Repair shop.Nova can cancel the policy


A) if Myles increases the risk assumed by the Nova.
B) if Myles files a claim under the policy.
C) if Myles appears as a witness in a case brought against Nova.
D) under no circumstances.

E) A) and D)
F) B) and C)

Correct Answer

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