FLOOR PLAN COVERAGE
is designed to work with the fluctuating values of dealership's stock. It is a blanket-type coverage over all of the property "on the sales floor" that is financed by a specified lender. The policy can cover the single interest of either the purchaser of the stock, or the party financing the stock, or it can be a dual interest policy and cover both interests. Coverage is usually on an all risk type basis. The premium is developed using the actual values at risk at the inception of the policy and then adjusted after the policy expiration based on the submitted reports.