Cory Cook has a policy identical to the homeowners policy used in class. While he was away on vacation, his water heater, which had just been installed three weeks previously, started leaking because of a manufacturing defect. The water damaged his home and damaged his comic book collection. Are these damages covered? Please identify the relevant policy provisions and discuss the likelihood that the claim is covered.

Using the same facts as he the question above, please assume coverage under the policy and determine the amount of the loss. Assume 10% depreciation on the part of the home that was replaced. The estimated cost to repair the home was $10,000, the cost to replace and install a new water heater was $2000, and the water damage reduced the value of the comic book collection by $3,000.

Here are the facts again: Cory Cook has a policy identical to the homeowners policy used in class. While he was away on vacation, his water heater, which had just been installed three weeks previously, started leaking because of a manufacturing defect. The water damaged his home and damaged his comic book collection.

Answer rating: 100% (QA)

Yes the damages are covered Cory Cook would be reimbursed for the estimated cost to repair the home ... View the full answer