A supplemental payment under a liability policy might include which of the following?

A supplemental payment under a liability policy typically includes legal fees, which are costs incurred by the insurer in the defense of a claim against the insured. These payments are made in addition to the policy limits for liability coverage. When an insurer agrees to pay legal fees, it helps support the insured during a lawsuit or legal claim, ensuring that the insured can mount a defense without having to pay those expenses out of pocket. This feature is crucial for protecting the insured's financial interests and providing peace of mind, allowing them to focus on the legal process rather than financial burden.

The other options, such as replacement value, deductible, and actual cash value, refer to different concepts in insurance. Replacement value pertains to the amount needed to replace damaged property with new similar items, while actual cash value takes into account depreciation when valuing property. A deductible is the amount the insured must pay before the insurance coverage kicks in, which does not fall under supplemental payments. Thus, legal fees as a supplemental payment play a specific and essential role in liability insurance by facilitating defense and representation.