Jerry and Paula Ranch are finally retired. All of their years of hard work have finally paid off. They purchased a second home on the beach decades ago. It was a “teardown,” and they have slowly restored it. Sea Island Mutual has held the homeowners insurance for the second home all of these years. The homeowners policy limits liability to \($100,000.\) They have a \($1\) million personal liability umbrella policy (\($300,000\) of underlying liability coverage is required on the homeowners policy) purchased from their insurance agent for their primary residence in the city. Due to an accident at the beach property, the Ranches are sued for \($1\) million. What amount of coverage will their personal liability umbrella pay?

A. – 0 –.

B. $100,000.

C. $700,000.

D. $900,000.