What is the primary purpose of a bailee's customer floater?

The primary purpose of a bailee's customer floater is to cover property that is in the custody of a bailee. This type of insurance policy is specifically designed to protect businesses that hold or work on customers' property, such as dry cleaners, repair shops, or storage facilities. When a customer leaves their belongings with a business, that business becomes a bailee, assuming responsibility for the care and protection of the property until it is returned.

With a bailee's customer floater, the insurance covers loss or damage to the customer's property—due to various perils—while it is in the bailee's possession. This coverage is critical because the bailee might be held liable for damages or losses that occur while the property is under their control. It allows the bailee to confidently offer their services, knowing that they have protection for the associated risks.

The other options address different types of coverage unrelated to the specific function of a bailee's customer floater. For example, protecting a business owner from all liabilities is a broader issue involving general liability insurance, and coverage for employee theft relates to crime insurance policies. Similarly, ensuring full reimbursement for fire damage pertains to property insurance for business operations rather than the responsibilities specific to a bailee.