You are responsible for an automobile accident. Use the information below to determine: the total amount your liability insurance will pay for the accident the total amount your collision insurance will pay for the accident the amount of additional damages you are esponsible for as a result of the accident You and the driver of the other car were the only people involved in the accident. There were no injuries from the accident. You have a 50/100/50 liability insurance policy with no deductible You have collision insurance with a deductible of $500 The other car was valued at $25,000 and requires $10,000 in repairs Your car was valued at $20,000 and requires $15,000 in repairs

You are responsible for an automobile accident. Use the information below to determine: the total amount your liability insurance will pay for the accident the total amount your collision insurance will pay for the accident the amount of additional damages you are esponsible for as a result of the accident You and the driver of the other car were the only people involved in the accident. There were no injuries from the accident. You have a 50/100/50 liability insurance policy with no deductible You have collision insurance with a deductible of $500 The other car was valued at $25,000 and requires $10,000 in repairs Your car was valued at $20,000 and requires $15,000 in repairs

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter7: Losses—deductions And Limitations

Section: Chapter Questions

Problem 47P

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You carry 25/50/25 coverage on your automobile. You are involved in an accident in which you are eventually held responsible for the following damages: other driver, $25,000; passenger 1, $20,000; passenger 2, $9,000; other car, $11,000. How much is left for you to pay after your insurance company has met its obligations under your policy? 0 bodily injury; 0 property damage 0 bodily injury; $4,000 property damage $4,000 bodily injury; 0 property damage $9,000 bodily injury; $4,000 property damage
Your insured has an O.A.P. 1 Owner's Policy with $1,000,000 Liability, standard Accident Benefits and All Perils coverage. Near Sudbury, Ontario he/she rear-ends another automobile and is found liable for the accident. Your insured's vehicle is a total loss. Your insured is convicted of impaired driving. Which one (1) of these statements is true? Insured's policy will pay - for the damage to the third party vehicle and subrogate against your insured. nothing for the damage to your insured's car because he/she was impaired. Third party damage will be paid by third party's insurer. for the damage to the third party vehicle with no right to for the damage to the third party vehicle with no right to subrogate against your insured. for your insured's collision loss only.
Mike purchased a Personal Auto Policy that included Part D (coverage for damage to your auto). He lost control of his car on an icy road, slid off the road and hit a tree. Ignoring any deductible, what will the insurer pay for the damage to Mike's car? O the lesser of actual cash value or the cost to repair or replace the vehicle O the original purchase price of the vehicle O the replacement cost of the vehicle the greater of actual cash value or the cost to repair or replace the vehicle O nothing
You damage your car in an accident that is covered by your collision insurance, which has a $200 deductible. If the damage to your car costs $1,200, the insurance company would pay ___.
While driving Mohamed's car Sarah accidentally crashed and hit a house, the loss costs a total of 2.505. If in this case Mohamed's insurance policy acted as the primary with a limit of 981, while Sarah's policy acts as the excess and has a limit of 3,943. In this case how much will Sarah's insurance policy pay?
Your insured's automobile is badly damaged in an accident. He/she calls to advise that the insurer wants to write-off the car because the estimated repair cost is greater than its "Red Book" actual cash value. Your insured feels that this is unfair and wants the vehicle to be repaired. What should you tell your insured? Losses are rarely settled according to the "Red Book" value, so you'll negotiate with the insurer for the vehicle to be repaired. Your insured is entitled to obtain an appraisal, for which the costs must be shared equally with the insurer. The insurer must comply with the wishes of your insured so legal action should be taken. You will try to have the insurer waive the deductible to help compensate for the claim being treated as a total loss.
Which one (1) of the following statements regarding the Uninsured Automobile Coverage in your insured's O.A.P. 1 Owner's Policy is correct?•It provides coverage for liability to others in case your insured forgets to renew his/her policy.•It only covers bodily injury but never accidental damage to the insured's own automobile.•It includes a certain amount of coverage for accidental damage to the insured's automobile caused by a hit and run automobile, where neither the owner nor driver of the other automobile is identified.•It includes a certain amount of coverage for accidental damage to the insured's automobile provided the owner or driver of the uninsured automobile is identified.
Zachary Lee has a personal automobile policy (PAP) with coverage of $25,000/$50,000 for bodily injury liability, $25,000 for property damageliability, $5,000 for medical payments, and a $500 deductible for collision insurance. How much will his insurance cover in each of the following situations? Will he have any out-of-pocket costs?a. Zachary loses control and skids on ice, running into a parked car and causing $3,785 damage to the unoccupied vehicle and $2,350 damage to his own car.b. Zachary runs a stop sign and causes a serious auto accident, badly injuring two people. The injured parties win lawsuits against him for $30,000 each.c. Zachary’s 18-year-old son borrows his car. He backs into a telephone pole and causes $450 damage to the car.
You and the driver of the other car were the only people involved in the accident. You were not injured. You have a 50/100/50 liability insurance policy with no deductible. You have collision insurance with a deductible of $1,000. The other driver's bodily injury claim is $60,000 for medical expenses related to a broken leg. The other car was valued at $25,000 and requires $7,000 in repairs. Your car was valued at $13,000 and requires $15,000 in repairs. The accident damaged a city light pole that will cost $1,800 to replace. the total amount your liability insurance will pay for the accident the total amount your collision insurance will pay for the accident the amount of additional damages you are responsible for as a result of the accident
You and the driver of the other car were the only people involved in the accident. You were not injured. You have a 50/100/50 liability insurance policy with no deductible. You have collision insurance with a deductible of $1,000. The other driver's bodily injury claim is $60,000 for medical expenses related to a broken leg. The other car was valued at $25,000 and requires $7,000 in repairs. Your car was valued at $13,000 and requires $15,000 in repairs. The accident damaged a city light pole that will cost $1,800 to replace. Use the information above to determine the following: the total amount your liability insurance will pay for the accident the total amount your collision insurance will pay for the accident the amount of additional damages you are responsible for as a result of the accident
Name the coverage for auto insurance. Covers the costs of lawsuits if someone is injured or killed in an accident in which you are at fault. Bodily injury liability Property damage liability Comprenhensive coverage Collision Coverage
Rosa Valencia has a personal automobile policy (PAP) with coverage of $25,000/$50,000 for bodily injury liability, $10,000 for property damage liability that includes coverage for her vehicle, $5,000 for medical payments, and a $500 deductible for collision insurance. How much will her insurance cover in each of the following situations? Will she have any out-of-pocket costs? Rosa loses control when she swerves to miss a dog on the street, running into a parked car and causing $5,300 damage to the unoccupied vehicle and $3,750 damage to her own car. Rosa pulls out in front of another car and causes a serious auto accident, badly injuring three people. The injured parties win lawsuits against her for $35,000 for one individual, and the other two passengers claimed $5,000 each ($10,000 total). Rosa’s 16-year-old daughter borrows her car. She runs off the road when texting while driving and causes $450 damage to the car.