25. Sid King has automobile liability insurance in the amount of 50/100/50. He also carries $250 deductible collision and full comprehensive coverage. Recently, he was at fault in an accident in which his car went out of control in the rain and struck four pedestrians. In an out-of-court settlement, they were awarded the following: Goya, $45,000; Truman, $68,000; Copeland, $16,000; and Kelly, $11,000. Damage to Sid's car amounted to $3,900. How much will the insurance company pay and to whom? $103,650 What part of the settlement will be Sid's responsibility? $40,250 How crashes affect auto premiums Average annual auto insurance premiums rise with each at-fault traffic accident: No accidents $1,387 One $1,689 Two $2,041 Three $2,348 Four $2,806
25. Sid King has automobile liability insurance in the amount of 50/100/50. He also carries $250 deductible collision and full comprehensive coverage. Recently, he was at fault in an accident in which his car went out of control in the rain and struck four pedestrians. In an out-of-court settlement, they were awarded the following: Goya, $45,000; Truman, $68,000; Copeland, $16,000; and Kelly, $11,000. Damage to Sid's car amounted to $3,900. How much will the insurance company pay and to whom? $103,650 What part of the settlement will be Sid's responsibility? $40,250 How crashes affect auto premiums Average annual auto insurance premiums rise with each at-fault traffic accident: No accidents $1,387 One $1,689 Two $2,041 Three $2,348 Four $2,806
Chapter7: Losses—deductions And Limitations
Section: Chapter Questions
Problem 67P
Related questions
Question
Sid King has automobile liability insurance in the amount of 50/100/50. He also carries $250 deductible collision and full comprehensive coverage. Recently, he was at fault in an accident in which his car went out of control in the rain and struck four pedestrians. In an out-of-court settlement, they were awarded the following: Goya, $45,000; Truman, $68,000; Copeland, $16,000; and Kelly, $11,000. Damage to Sid’s car amounted to $3,900.
How much will the insurance company pay and to whom?
$103,650
What part of the settlement will be Sid’s responsibility?
$40,250
![25.
Sid King has automobile liability insurance in the amount
of 50/100/50. He also carries $250 deductible collision and
full comprehensive coverage. Recently, he was at fault in an
accident in which his car went out of control in the rain and
struck four pedestrians. In an out-of-court settlement, they
were awarded the following: Goya, $45,000; Truman,
$68,000; Copeland, $16,000; and Kelly, $11,000. Damage to
Sid's car amounted to $3,900.
How much will the insurance company pay and to
whom?
$103,650
What part of the settlement will be Sid's
responsibility?
$40,250
How crashes affect auto premiums
Average annual auto insurance premiums rise
with each at-fault traffic accident:
No
accidents
$1,387
One
$1,689
Two
$2,041
Three
$2,348
Four
$2,806](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4a4ce758-1b31-416f-a195-07f6f96bbd90%2Fe40b1ab4-2a9e-4c10-9954-ecda6bf9c4c9%2Fniutusw_processed.png&w=3840&q=75)
Transcribed Image Text:25.
Sid King has automobile liability insurance in the amount
of 50/100/50. He also carries $250 deductible collision and
full comprehensive coverage. Recently, he was at fault in an
accident in which his car went out of control in the rain and
struck four pedestrians. In an out-of-court settlement, they
were awarded the following: Goya, $45,000; Truman,
$68,000; Copeland, $16,000; and Kelly, $11,000. Damage to
Sid's car amounted to $3,900.
How much will the insurance company pay and to
whom?
$103,650
What part of the settlement will be Sid's
responsibility?
$40,250
How crashes affect auto premiums
Average annual auto insurance premiums rise
with each at-fault traffic accident:
No
accidents
$1,387
One
$1,689
Two
$2,041
Three
$2,348
Four
$2,806
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