Temporary coverage for loss to newly acquired buildings is up to what per building?

Temporary coverage for loss to newly acquired buildings is up to what per building?

• A. $25,000
• B. $10,000
• C. $5,000
• D. $50,000

Answer: (A)

Temporary coverage for newly acquired buildings is an automatic short-term protection that covers the building itself for a brief period after you acquire it. The standard per-building limit for this coverage is $25,000, meaning each newly acquired building can be covered up to that amount for direct physical loss while you arrange permanent coverage. This extension is handy because it bridges the gap between purchase and updating or replacing a policy. If you buy more than one new building, each one can receive up to $25,000, and the coverage is limited to the building, not the contents. Other dollar amounts like $10,000, $5,000, or $50,000 don’t reflect this common per-building limit.

Temporary coverage for newly acquired buildings is an automatic short-term protection that covers the building itself for a brief period after you acquire it. The standard per-building limit for this coverage is $25,000, meaning each newly acquired building can be covered up to that amount for direct physical loss while you arrange permanent coverage. This extension is handy because it bridges the gap between purchase and updating or replacing a policy. If you buy more than one new building, each one can receive up to $25,000, and the coverage is limited to the building, not the contents. Other dollar amounts like $10,000, $5,000, or $50,000 don’t reflect this common per-building limit.