What would the insurer provide for a total loss if Betty had maintained the minimum coinsurance?

In a situation where an insurance policy includes a coinsurance clause, the insurer will typically cover the amount of the total loss based on the value of the insured property and the terms of the policy, assuming the insured has met the minimum coinsurance requirement.

If Betty maintained the minimum coinsurance, this means she ensured her policy coverage was adequate in relation to the total value of her property — generally stipulated as a percentage (often 80% or more) of the total value to be insured. Therefore, if the value of the property at the time of loss is $100,000 and she maintained the required coinsurance percentage, the insurer would provide coverage up to that total value for a total loss.

In this case, the amount provided by the insurer reflects the full coverage limit, which is $100,000. Thus, the insurer would compensate for the total loss amounting to $100,000, thereby satisfying the terms of the policy under the coinsurance clause. This figure indicates that the insured value was correctly aligned with the value of the property, ensuring full compensation in case of a total loss.