Reference no: EM132729031

Question 1: B-Gallery owns a building on Wharf Street. B-Gallery purchased a Commercial General Liability Policy with no endorsements. All of the following claims would be covered under the policy EXCEPT

A) An artist sued the gallery for slander after an employee of the gallery said the artist's work looks like it was painted by an intoxicated monkey.

B) A customer is injured when a painting falls from the wall and strikes the customer.

C) A customer is injured after falling on a slippery floor at the gallery.

D) An employee of the gallery accidentally started a fire that caused extensive damage to the building.

E) An owner of an adjacent building negligently floods B-Gallery with water, resulting in damages to the B-Gallery's inventory.

Question 2:  Executives of a smaller firm listed on the NYSE blocked an acquisition attempt by a larger company. When the stockholders learned they could have made large profits had the acquisition not been blocked, they filed a lawsuit against the executives of the firm. What type of liability insurance protects the executives of the organization against such suits?

A) Dram shop liability insurance

B) Directors and officers liability insurance

C) Employers liability insurance

D) Employment related practices liability insurance

E) Business Interruption insurance

What type of coverage would apply in this case?

1) blanket coverage.

2) corporate reimbursement coverage.

3) personal liability of directors and officers coverage.

4) entity coverage.

Explain your answers.