Alterations or additions made to the building at the expense of an insured who does not own the building and who cannot legally remove them are known as?

• A. Improvements and Betterments
• B. Incorporeal Interest
• C. License
• D. Profits a Prendre

Answer: (A)

This is about improvements and betterments. These are permanent alterations or additions to a building that an insured makes at their own expense, even though they do not own the building, and cannot legally remove when the tenancy ends. In insurance terms, improvements and betterments stay with the property and reflect value added to the premises, often remaining with the landlord after the lease or ownership changes. That’s precisely the situation described: alterations or additions funded by the non-owner insured that aren’t removable.

Incorporeal interest refers to intangible rights in property, a license is mere permission to use property, and profits a prendre is a right to take natural resources from someone else’s land. None of those fit the scenario of permanent, non-removable alterations paid for by the tenant.