Question

In an effort to reduce cost on auto insurance, Sophia has lowered each component of her current plan to the cheapest possible option. Sophia’s current insurance agency is Fret-No-More Auto Insurance, whose policy options are listed below. The annual premium for Sophia’s current policy is $511.31. What decrease in her annual premium will Sophia see after the change?

Answer 1

Sophia will save $38.15

Step-by-step explanation:

If Sophia chooses the cheapest possible option, her choices will be:

bodily injury $25/50,000 $21.35

property damage $25,000 $115.50

collision $500 deductible $248.08

comprehensive $100 deductible $88.23

total premium $473.16

she will save $511.31 - $473.16 = $38.15