Hello,
I need some assistance with two questions of the quiz.
1- An appliance store sells a refrigerator to Mrs. Smith. The refrigerator is installed in Mrs. Smith's kitchen and after the installation had been completed, the refrigerator blows up catching fire and damaging the kitchen and injuring Mrs. Smith. The appliance store's Commercial General Liability policy covers? The correct answer is: Bodily Injury to Mrs. Smith and damage to the, kitchen but not the refrigerator...
Why not the refrigerator?
Thank you for your time!
P.A.
Hi Paola,
The Products and Completed Operations Exposure covers BI and PD occurring away from the premises as a result of the insured's work. The insured installed the refrigerator, they did not build the refrigerator. The manufacturer is responsible for the refrigerator.
Businesses that handle vehicles need a special coverage known as Garagekeepers coverage. (Page 95 in state manual). This coverage is for vehicles in the "care, custody and control" of someone who does not own the vehicle. It is used for valet parking, repair shops, etc. Business vehicles are covered under the Business Auto Policy.
I hope this helps. Please let me know if you have other questions.
Jan
Thanks for posting the question. I got both those answers wrong as well. Cant understand why.
Hi Lynne,
Please let me know where you're still confused so I can try a better explanation.
Jan