Arizona Adjuster Practice Exam

What types of items does the commercial articles floater insure?

1. Only personal property

2. Commercial equipment or items used by non-profit organizations

3. Only valuable artwork

4. Automobiles

The correct answer is: Commercial equipment or items used by non-profit organizations

The commercial articles floater is designed to cover commercial items that are not tied to a specific location. This type of policy is particularly beneficial for businesses that utilize equipment or tools that may be transported or moved frequently, such as contractors or service providers. It provides coverage for items specifically related to a business's operations, which can include commercial equipment and items used by non-profit organizations. Unlike personal property, valuable artwork, or automobiles, which fall under different types of insurance policies, the commercial articles floater is tailored to ensure coverage for operational assets critical to a business's functionality. Thus, the focus on commercial equipment and the inclusion of items that may be used by non-profit organizations aligns with the intent of this type of insurance, allowing for flexibility and protection of a wide range of business-related property.