Question

Todd and Mary have insurance protection for their home with a policy deductible of $500. One night, a thunderstorm knock a tree onto their roof and causes $2,500 in damage. How much money will the insurance company pay to Todd and Mary to fix their roof

A) $2,000
B) $500
C) $2,500
D) $1,000

Answer 1

The insurance company will pay Todd and Mary $2,000 to fix their roof.

Step-by-step explanation:

The insurance company will pay Todd and Mary $2,000 to fix their roof.

Since Todd and Mary have a policy deductible of $500, they are responsible for paying the first $500 of the damage. The insurance company will cover the remaining $2,000, which is the difference between the total damage of $2,500 and the deductible.