Which item is NOT covered under the building and personal property coverage form?

Which item is NOT covered under the building and personal property coverage form?

• A. Money and securities
• B. A heating, ventilation, and air-conditioning system
• C. Outdoor furniture used to service the building
• D. Refrigerators and dishwashers used in the insured's business

Answer: (A)

The fundamental idea here is what the Building and Personal Property Coverage Form covers. This form insures the physical property of the building and the insured’s personal property at the described location, including fixtures, machinery, equipment, and property used to service the premises. It also covers outdoor property that serves the building. Money and securities are not included in this form because they’re excluded from coverage; they’re financial items that typically require a separate form or an endorsement (money and securities coverage) to protect cash, checks, and similar items. That’s why the other items fit under the Building and Personal Property Coverage Form: a heating, ventilation, and air-conditioning system is part of the building’s systems; outdoor furniture used to service the premises is outdoor property used to service the building; and refrigerators and dishwashers used in the insured’s business are personal property used in the business on the insured location.

The fundamental idea here is what the Building and Personal Property Coverage Form covers. This form insures the physical property of the building and the insured’s personal property at the described location, including fixtures, machinery, equipment, and property used to service the premises. It also covers outdoor property that serves the building.

Money and securities are not included in this form because they’re excluded from coverage; they’re financial items that typically require a separate form or an endorsement (money and securities coverage) to protect cash, checks, and similar items.

That’s why the other items fit under the Building and Personal Property Coverage Form: a heating, ventilation, and air-conditioning system is part of the building’s systems; outdoor furniture used to service the premises is outdoor property used to service the building; and refrigerators and dishwashers used in the insured’s business are personal property used in the business on the insured location.