What does the Right of Salvage provision require after a total loss is paid?

The Right of Salvage provision becomes relevant when an insurance company pays a total loss claim for a property. Under this provision, once the claim is settled and the insurance company compensates the policyholder for the loss, ownership of the damaged property typically transfers to the insurer. This allows the insurance company to take possession of the salvageable parts of the property, which they can then sell or dispose of as they see fit. This process helps the insurer recover some of the costs associated with the claims they pay out.

By transferring the title of the property to the insurer, the insurance company can manage the remnants of the property effectively, potentially recouping some value from the loss. This is a standard practice in insurance to mitigate losses from total claims. As a result, option C accurately reflects the legal requirement associated with the Right of Salvage provision after a total loss is recognized and compensated.