The maximum payment per claim from Pennsylvania's recovery fund is:
Question & Answer
Review the question and all answer choices
$10,000
Option A ($10,000) is incorrect as it represents only half of the actual Pennsylvania recovery fund limit. This option might confuse students with states that have lower recovery fund limits or older Pennsylvania regulations.
$20,000
$45,000
Option C ($45,000) is incorrect as it exceeds Pennsylvania's actual recovery fund limit. This might represent a student's confusion with states that have higher limits or misremembering the exact amount.
$50,000
Option D ($50,000) is incorrect as it significantly exceeds Pennsylvania's actual recovery fund limit. This option might represent a student confusing Pennsylvania with another state or misremembering the amount.
Why is this correct?
Option B is correct because Pennsylvania Real Estate Commission regulations establish a maximum payment of $20,000 per claim from the recovery fund. This limit protects consumers while ensuring the fund remains solvent for multiple claims.
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