The insurance applies separately to each insured as if the other insureds did not exist.

• A. Abandonment
• B. Proximate Cause
• C. Severability
• D. Indemnity

Answer: (C)

Severability of insureds means each named insured is treated separately under the policy for purposes of coverage and claims. This provision ensures that what happens with one insured doesn’t affect the coverage available to the others; each insured’s claim is evaluated independently, and the policy limits apply to each insured individually, subject to the contract’s terms. In practice, if two people are named insureds, a loss claimed by one is not automatically reduced or denied because of the other insured’s situation—coverages are determined as if the others didn’t exist, within the policy structure. This concept is distinct from abandonment (giving up rights), proximate cause (the main cause of a loss), or indemnity (compensation to restore to the original position in general terms); severability specifically addresses how coverage operates for multiple insureds within a single policy.