Question

Tim Robinson was judged at fault in an automobile accident. Three others were awarded injury damages of $150,000, $150,000, and $75,000. Sam has 100/300 bodily injury liability coverage. What amount, if any, would not be covered by his insurance?

Question 13Select one:

a.
$150,000

b.
$100,000

c.
$50,000

d.
None. The total amount would be covered by insurance

Answer 1

Answer:In this case, Sam has 100/300 bodily injury liability coverage. This means that Sam's insurance policy will cover up to $100,000 for each person injured in an accident and up to a total of $300,000 for all injured individuals combined. The total injury damages awarded to the three others involved in the accident are $150,000, $150,000, and $75,000, which sum up to $375,000. Since Sam's insurance coverage is limited to $100,000 per person and $300,000 in total, the amount that would not be covered by his insurance is $75,000. Therefore, the correct answer is: c. $50,000 $50,000 would not be covered by Sam's insurance.