What term describes a property policy that adjusts coverage limits based on inventory values?

The term that describes a property policy which adjusts coverage limits based on inventory values is known as a Reporting Form. This type of policy is specifically designed for businesses that have fluctuating inventory levels. With a Reporting Form, the insured reports their inventory values at specific intervals, allowing the insurer to adjust the coverage limits accordingly.

This dynamic approach ensures that the policy provides adequate protection for the business as inventory amounts change, thereby reducing the risk of being underinsured. The insured often submits periodic reports that reflect the value of their property, allowing for more accurate premium calculations based on actual inventory levels rather than static values that may become outdated.

Scheduled Policies typically involve a fixed list of specific items with established values, without the flexibility needed for businesses with changing inventory. Robbery Coverage, while important in protecting against theft, does not pertain to adjusting coverage limits based on inventory values. Risk Assessment refers generally to evaluating potential threats to property but does not describe a type of policy structure.