Question 13

$100000 per occurrence

Coverage E (Personal Liability) under Section II of the Homeowner's policy typically has a standard policy limit of $100,000 per occurrence. This means that for any single incident that results in personal liability claims, the insurance will cover up to this amount.

A) $25000 per occurrence

This option is incorrect because the standard limit for Coverage E is significantly higher than $25,000. Such a low limit would not adequately protect homeowners from potential liabilities that could arise from various incidents.

B) $50000 per policy period

This option is also incorrect as it misrepresents the nature of Coverage E limits. The coverage is provided on a per occurrence basis, rather than a total limit for a policy period, and the standard limit exceeds $50,000.

C) $100000 per occurrence

This option is correct and reflects the standard limit for Coverage E (Personal Liability) under the Homeowner's policy. This coverage ensures that homeowners are adequately protected against liability claims for incidents that may occur on their property.

D) $250000 per policy period

This option is incorrect because it suggests a policy period limit rather than a per occurrence limit. The actual standard limit for this coverage is $100,000 per occurrence, not $250,000.

Conclusion

The correct answer is $100,000 per occurrence, which is the standard policy limit for Coverage E under a Homeowner's policy. This amount provides essential protection against personal liability claims and is much higher than the incorrect options presented. Other choices either misstate the limit or fail to align with the per occurrence structure of the coverage.