Ontario Insurance Practice Exam 2025 - Free Insurance Practice Questions and Study Guide

For Rental Value to be considered an additional coverage in an insurance policy, explicit language specifying this coverage is required within the policy. This means that the policy must specifically state that Rental Value is covered in addition to other limits or coverages. Having this clear designation prevents any ambiguity about what is included in the coverage and ensures that policyholders understand the extent of their protection regarding rental income loss during a claim.

Policies typically have specific language that outlines additional coverages, and without that explicit inclusion, there may be no basis for expecting extra payouts for Rental Value, even if other aspects of the policy suggest that coverage might exist. This is vital as it establishes the terms under which policyholders can make claims related to their rental properties. Thus, having clear, defined, and specific language in the policy regarding Rental Value is essential in insurance transactions.