Which factor is considered a cause of loss in the Basic Commercial Property Policy?

The correct answer is falling objects, as this factor is explicitly covered under the Basic Commercial Property Policy. This policy is designed to protect commercial properties from a variety of perils, and falling objects, such as debris or items from structures that collapse, qualify as a specific cause of loss that insurance policies typically address.

The Basic Commercial Property Policy delineates various types of risks, and while falling objects can lead to significant damages, the inclusion of this as a cause of loss emphasizes the insurance designed to mitigate the risks associated with different environmental and structural factors impacting commercial buildings.

On the other hand, flooding, while it can cause extensive damage, is typically not covered under the Basic Commercial Property Policy and requires separate flood insurance. War is also generally excluded from coverage due to the unpredictable and catastrophic nature of such events. Similarly, government action can lead to loss but is often not included as a covered peril in these policies, as it refers to government actions like seizure or destruction of property that are outside the usual scope of coverage provided.