What is the limit of coverage for Other Structures under Coverage B?

The correct answer is based on the standard coverage limits established in homeowners insurance policies. Specifically, Coverage B, which pertains to Other Structures, typically provides coverage for structures on the property that are not attached to the dwelling itself, such as sheds, fences, or detached garages.

The standard limit for Other Structures is 10% of the amount of Coverage A, which represents the coverage for the primary dwelling. This means if the dwelling is insured for $200,000 under Coverage A, the Coverage B limit for Other Structures would be $20,000. This standard percentage is designed to offer a reasonable level of coverage for common outbuildings and structures without needing to specifically list each one and assign individual values to them.

Understanding this limit is essential for homeowners to ensure that they have adequate protection for all structures on their property, and it reflects the insurance policy's approach to managing risk by providing an automatic percentage of coverage for additional structures.