BONGANI GENERAL DEALER (BGD) Bongani General Dealer's stock is not insured. As an insurance broker, BGD requested your advice on insurance. You completed a quotation on the cost of insurance for BGD's stock. The monthly premium is quoted at R2 800 on a total value of goods amounting to R2 800 000.
- Identify the type of insurance that BGD needs and give ONE reason why it is beneficial to the business.
- Name and explain the type of insurance that Bongani should consider to protect his dependants when he dies.
- Define the following insurance concepts:
A. Average clause