WAEC - Insurance (2018 - No. 17)
Addition of a new building to an existing fire and special perils insurance would be effected through the issuance of?
a new policy
an endorsement
a specification
a rectification
Explanation
The purpose of an endorsement is a policy change. Insurance companies create endorsements to offer options to insureds to add coverage or increase coverage limits, but insurers may also issue special endorsements to limit or restrict coverage. Insurance endorsements are used in property and casualty insurance.