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Eileen Dressel pays $272.40 for 100/300 bodily injury limits and $100,000 property damage limits. She also pays $59.20 for $50-deductible comprehensive insurance and $194.40 for $50-deductible collision insurance. What is her annual base premium?

a) $526.00
b) $663.20
c) $933.60
d) $1,052.00

User RLoniello
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1 Answer

1 vote

Final answer:

Eileen Dressel's annual base premium for her auto insurance is the sum of her payments for bodily injury limits, comprehensive insurance, and collision insurance, which totals $526.00, making the correct answer (a) $526.00.

Step-by-step explanation:

Eileen Dressel wants to calculate her annual base premium for her auto insurance, which includes 100/300 bodily injury, $100,000 property damage limits, $50-deductible comprehensive insurance, and $50-deductible collision insurance. To find the total annual base premium, we need to add up all the individual parts of her insurance costs.

Eileen pays:

  • $272.40 for bodily injury limits
  • $100,000 for property damage limits (The cost is not provided)
  • $59.20 for comprehensive insurance
  • $194.40 for collision insurance

The total annual base premium Eileen pays is the sum of the above costs, excluding property damage limits for which we do not have a cost.

Total annual base premium = $272.40 + $59.20 + $194.40 = $526.00

Therefore, the correct answer is (a) $526.00.

User Nlern
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8.1k points