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October 2026, question 44

Entry / Entry Summary · Foreign-trade zones, warehouses and in-bond

Which ONE of the following statements is TRUE regarding an owner or lessee’s application to establish a bonded warehouse facility?

  1. The applicant shall state whether the warehouse facility is to be operated as a public bonded warehouse, only if the application is for a class 2 warehouse.
  2. The applicant shall state the general character of the merchandise to be stored therein, only if the warehouse facility is to be operated as a public bonded warehouse.
  3. If the proposed warehouse is covered by fire insurance, the applicant shall submit evidence of the coverage.
  4. The applicant shall prepare and have available at the warehouse a certification stating that the inventory control and recordkeeping system meets the requirements of 19 CFR 19.12, but this certification is not to be submitted with the application.
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CBP's answer: C. C: If the proposed warehouse is covered by fire insurance, the applicant shall submit evidence of the coverage.

Section 19.2(b) says the applicant for a bonded warehouse shall submit evidence of fire insurance coverage on the proposed warehouse (or two insurers' certificates if it has none), so C is right. The other choices add conditions that 19.2 does not state, such as limiting the class or public warehouse statements to certain applicants.

The applicant shall submit evidence of fire insurance coverage on the proposed warehouse. 19 CFR 19.2(b)

Search for: evidence of fire insurance coverage on the proposed warehouse

CBP's key cites: 19 CFR 19.2(b)

Question and key from CBP's October 2026 exam and answer key. The walk-through is ours; quotes are from the pinned editions in the reference viewer (HTSUS 2026 Basic, 19 CFR 2025 edition).