What is the maximum amount the insurer will pay under the outdoor property coverage extension of the Businessowners Policy?

Under the outdoor property coverage extension of a Businessowners Policy (BOP), the maximum amount that the insurer will pay for covered losses to outdoor property is indeed $2,500. This coverage is specifically designed to protect items such as signs, fences, trees, and shrubs that are located outside the insured premises.

The limit of $2,500 applies per year for such outdoor property, making it essential for businesses that have valuable landscaping or installations outside their buildings to understand this cap. It is important for policyholders to be aware of these limits to adequately assess their coverage needs and consider additional insurance if the value of their outdoor property exceeds this limit.

In contrast to the other options, such as $1,000, $5,000, and $10,000, a limit of $2,500 aligns with standard coverage terms provided under the BOP, thus highlighting the specific coverage structure designed for outdoor assets.