What is the aggregate limit for all occurrences for each policy year?

The correct answer is based on the common structure of insurance policies related to fire alarms and other similar systems, where an aggregate limit for all occurrences refers to the maximum amount an insurer will pay for claims within a policy year. In this case, the aggregate limit is set at $300,000.

This amount reflects a balance between the need for adequate financial protection to ensure that a series of claims or incidents—such as fire alarms being triggered multiple times or different coverage events occurring—can be handled without the insured facing significant out-of-pocket expenses or insufficient coverage.

Setting the aggregate limit at this level aims to provide a meaningful safety net for policyholders while still managing the risk for insurers. Policyholders should be aware of this limit when evaluating their coverage needs, as it ensures they have sufficient financial backing to address multiple claims that may arise within the policy year.