Which losses are covered by Commercial Property Insurance (as described)?

• A. Direct and indirect losses related to properties other than one to four family dwellings and farm properties.
• B. Liability losses to tenants.
• C. Personal injury claims.
• D. Employee wage disputes.

Answer: (A)

Commercial Property Insurance covers the physical property used for business and the income lost when that property is damaged. It includes direct losses—the actual damage to buildings and contents—and indirect losses, such as the reduction in income or extra expenses that result from having to pause operations after a covered loss. This type of policy applies to commercial properties rather than homes or farm properties.

That’s why it matches: it covers both direct and indirect losses related to properties other than one- to four-family dwellings and farm properties. Liability losses to tenants, personal injury claims, and employee wage disputes are not covered by this type of property policy; they fall under different coverages (like liability or labor-related issues) and aren’t about physical property damage or business interruption.