I’m going to give some math problems
YOU’LL NEED PEN & PAPER
Let’s talk about what coinsurance is? These questions could be on the exam you take. Pay close attention. Coinsurance is used to require the insured to purchase insurance close to the value of the property. In property insurance a coinsurance penalty occurs when the insured did not have enough insurance on a property. Typically, insurer’s want to property insured for 80% of the property value.
In this video learn how to calculate the difference.