How can theft of personal property be covered in a dwelling policy?

The correct approach for covering theft of personal property in a dwelling policy is through the purchase of a broad theft coverage endorsement. This endorsement enhances the standard dwelling policy by specifically addressing the coverage for losses due to theft, ensuring that personal property within the insured dwelling is protected against theft-related incidents.

When the broad theft coverage endorsement is added to a dwelling policy, it expands the scope of protection to include not only theft of personal property but also vandalism and malicious mischief that may occur as a result of theft. This coverage typically applies to items inside the home as well as certain personal belongings kept away from the primary residence, depending on the terms of the endorsement.

Without this specific endorsement, a basic dwelling policy often lacks comprehensive theft coverage for personal property. Some policies may cover theft of building materials or equipment, but not generally personal belongings unless explicitly included through the endorsement. This makes option B the most effective way to ensure that theft of personal property is adequately covered under a dwelling policy.