How much does credit insurance cover?
gabriellenlewis
AAT Student Posts: 128
I've read 80% and 70%? Or does it depend on the company?
What happens if you're not given a % but asked to state how much insurance will cover and how much provisions should allow for, and then vat?
What happens if you're not given a % but asked to state how much insurance will cover and how much provisions should allow for, and then vat?
Answers
I think most likely the questions will specify the % for credit insurance. There is not set %, you are right it depends on the company.
I do not think that a question will be given without a %, there might some other information to help you. If you look at assessment 2 on AAT's website, question 7 (Chefzone), there is no % for the credit insurance but the question says that the policy will cover the production cost.
I hope this is ok.