Question

If you are involved in a traffic collision, you are required to complete and submit a written report (sr1) to the dmv:

A) Only if you or the other driver is injured.
B) If there is property damage in excess of $500 or if there are any injuries.
C) Only if you are at fault.

Answer 1

You must submit an SR1 report to the DMV if there's over $500 in property damage or any injuries; fault is irrelevant. Insurance example shows how premiums cover collective accident costs.

Step-by-step explanation:

If you are involved in a traffic collision, you are required to complete and submit a written report (SR1) to the DMV if there is property damage in excess of $500 or if there are any injuries. It is not only a requirement if you or the other driver is injured, nor is it only if you are at fault. This report helps the DMV keep accurate records of traffic collisions and can assist with the insurance claims process.

Using the provided insurance example, if we consider a group of 100 drivers, the total damages from accidents could amount to $186,000. This calculation is based on the distribution of accident severities and costs to repair the damages. Therefore, if each driver pays a premium of $1,860 annually, the insurance company collects the necessary funds to cover the accident costs for everyone.