Question

Alexandria was in an accident that was caused by her negligence. She has 50/250 bodily injury insurance. Five

people involved in the accident sued and were awarded various damages. Two people were awarded $30,000, two
people were awarded $65,000 and the last person was awarded $80,000.
-How much of these damages is the insurance company going to pay, and how much will Alexandria have to pay?
a.) Insurance Company's Bill: $
b.) Alexandria's Bill: $

Answer 1

All the money owed to the various people totals to 270,000. Alexandria’s insurance pays for 50/250 which reduced is 5/25 or 20%. Therefor the amount that the insurance pays is 20% of 270,000 which totals to 54,000. The amount Alexandria has to pay is the rest which would be 216,000