All of the following statements about the Musical Instrument Floater are true, except:

The Musical Instrument Floater provides specialized coverage for musical instruments and can be tailored to the specific needs of musicians. Among the statements presented, the one regarding the additional premium requirement if instruments are played for hire is not accurate, making it the exception.

Typically, most floater policies, including the Musical Instrument Floater, include a provision that additional premium may be necessary for coverage if the instruments are used in a commercial capacity, such as being played for hire. This is because the risk associated with commercial use often differs from that of personal use, leading insurers to charge different premiums based on usage.

The other statements about the Musical Instrument Floater hold true. It can indeed be included in a scheduled personal property endorsement, newly acquired items usually need to be reported within a given timeframe, and claims are commonly settled based on actual cash value, reflecting the item's depreciation. Understanding these aspects helps clarify the nuances of insurance coverage for musical instruments.