FIRE INSURANCE POLICY / TUTORIALOUTLET DOT COM

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FIRE INSURANCE POLICY / TUTORIALOUTLET DOT COM
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FIRE INSURANCE POLICY / TUTORIALOUTLET DOT COM

• Fire insurance policy
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• Jack Montgomery owned an apartment building that
  he had insured for the past 10 years under a fire
  insurance policy sold by Todd Manning Insurance.
  Two months prior to the expiration of the current
  policy, Manning notified Montgomery that the
  building would be insured for 239,000 (or 80
  percent of the buildings value) as required by
  the insurance company. Montgomery replied that he
  wanted the insurance to match the amount of the
  outstanding mortgage on the building (i.e.,
  85,000), and that if Manning could not sell this
  insurance, he would go elsewhere. Manning sent a
  new insurance policy in the face amount of
  239,000, with the notation that Montgomery could
  quot cancel quot the new policy by
  returning either the policy itself or the lost
  policy receipt, and absent that, the policy would
  be automatically accepted through the inaction of
  Montgomery.

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