Identify the endorsement that increases the amount of insurance automatically every year, or increases the amount of insurance to between 90 and 100 percent of replacement value and keeps the amount up to date every time the policyholder pays the premium.
A)Property protector endorsement
B)Equipment breakdown endorsement
C)Bond endorsement
D)Replacement cost guarantee endorsement
E)Inflation guard endorsement

Question

Quizplus · Accepted Answer

The Inflation Guard Endorsement is designed to automatically adjust the limit of insurance to keep pace with inflation, ensuring that the coverage amount remains adequate to cover the replacement cost of the property as construction costs increase over time.

Identify the Endorsement That Increases the Amount of Insurance Automatically