Which statement about special personal property limits under a homeowners policy is true?

The statement regarding a limit of $500 for business personal property on premises under a homeowners policy is accurate. Homeowners insurance policies typically impose specific limits on coverage for certain types of personal property, especially when it relates to business activities conducted from the home. This limitation acknowledges the increased risk associated with business equipment and inventory, which may not be as broadly covered compared to personal property.

The limit for business personal property is specifically set to reflect the understanding that homeowners policies are not primarily designed to cover business operations comprehensively. Instead, they focus on personal residence coverage, and business-related items may require a separate business insurance policy for full protection. This is essential for homeowners to recognize when determining whether they have adequate coverage for any business-related assets that might be present in their home.