Which of the following statements is NOT true regarding a personal umbrella liability policy?

a) It provides excess liability coverage over underlying personal liability.

b) It provides errors and omissions coverage for an agency.

c) It may cover certain exposures not provided under the primary layer.

d) It may require the payment of a self-insured retention.

Answer: B

Insurance Property and Casualty

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An insured's building has an actual cash value of $200,000, and he has insured the property for $120,000 with an 80% coinsurance clause. A $40,000 loss occurs. How much will the policy pay? a) $0 b) $30,000 c) $32,000 d) $40,000 Answer: B

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