What is the purpose of an installation floater?

To cover property belonging to a contractor or others that is intended to become a part of a structure

To cover property to be installed at the insured's location

To cover property that has been installed when the contractor has completed the job and the work has been accepted

To cover the insured's machinery, tools and other equipment used to install property to become a part of a building

Answer:

To cover property belonging to a contractor or others that is intended to become a part of a structure

The policy is used to supplement coverage provided by the commercial property forms. It covers property off an insured's location and in transit or at the job site awaiting installation or when it has been installed. Coverage ceases when the property has been accepted by the purchaser.

Alabama 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?

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