British Columbia Fundamentals Of Insurance (FOI) Practice Test

The scenario that qualifies under the Removal Clause for extended coverage is one where the insured moved property to a storage facility for fire protection.

This is correct because the Removal Clause is designed to provide coverage for property that is temporarily moved to protect it from loss or damage. In this case, relocating property to a storage facility specifically for fire protection clearly demonstrates the intention to safeguard the insured items from a potential fire hazard. The clause generally applies to situations where the action taken is for the direct benefit of the property’s safety, thus aligning perfectly with the scenario presented.

The other scenarios do not align with the intent of the Removal Clause. For instance, simply moving to a new residence without informing the insurer does not indicate a protective measure but rather a change of address that the insurer might not be aware of. Using a rented storage locker due to lack of space may not cover the intent of protection from specific perils, but rather a matter of convenience. Lastly, keeping personal property at a seasonal dwelling may not explicitly involve a protective move, as this indicates a temporary location rather than a proactive measure for safeguarding against damage.