Which of the following is not true about running a sole proprietorship?
(A) You can respond quickly to changes in the marketplace.
(B) There are minimal start-up costs.
(C) You are exempt from your city's zoning laws.
(D) You have unlimited personal liability.
Ans: (C) You are exempt from your city's zoning laws.
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Roger owns some farmland that he rents to a tenant. The tenant lives in an old farmhouse on the property and raises crops on the land. Roger is concerned about possible legal liability if the tenant injures someone
Roger requires the tenant to have liability insurance and to add himself to the liability coverage through an endorsement. Under the tenant's liability insurance, Roger is a(n) A) additional insured. B) first-named insured. C) second-named insured. D) other insured.
A special coverage policy is a policy that
A) has no exclusions. B) provides open-perils coverage. C) provides coverage under special conditions. D) has coverage for multiple lines of insurance.