South Carolina Personal Lines Practice Exam

What is the coverage limit for appliances and furnishings under a landlord furnishing endorsement?

1. 1500

2. 2500

3. 3000

4. 1000

The correct answer is: 2500

The landlord furnishing endorsement is designed to provide coverage for certain personal property owned by the landlord located within the rental premises. This typically includes appliances and furnishings that the landlord has made available to the tenant. The correct coverage limit, which is commonly set at $2,500, ensures that landlords can recover losses or damages for these items in the event of covered perils, such as fire or theft. This amount provides a reasonable level of protection for landlords while taking into account the typical value of furnishings and appliances found in rental units. It reflects a standard practice in personal lines insurance within the context of landlord-tenant relationships, ensuring that landlords can manage their assets effectively while also maintaining fair coverage limits for their tenants.