What is the special limit of liability for livestock under Coverage E on horses, mules, and cattle?

The special limit of liability for livestock under Coverage E specifically pertains to horses, mules, and cattle and is set at $2,000. This amount reflects the insurer’s valuation of these types of livestock in relation to property insurance under a typical homeowners policy.

This limit is crucial for policyholders to understand as it establishes a cap on the amount the insurer will pay in the event of a covered loss related to these animals. For policyholders who own livestock, knowing this limit helps them assess whether they need to acquire additional coverage or endorsements to adequately protect their investment, as this amount might not fully cover the value of the livestock in the event of a loss.

The other amounts listed do not represent the correct limit established for this specific category in typical property insurance coverage. Therefore, a thorough understanding of this special limit aids in ensuring adequate risk management and insurance planning for livestock owners.