Final answer:
Fred must pay for the damages to the car with which he was in an accident, the damages done to his own car resulting from the accident, and any increases to his insurance premium occurring due to the accident.
Step-by-step explanation:
According to the information provided, Fred is a car owner with automobile insurance coverage only for accident liability.
Choosing the statements that accurately describe the out-of-pocket costs to Fred for an accident that was determined to be his fault:
Fred must pay for the damages to the car with which he was in an accident.
Fred must pay for any increases to his insurance premium occurring due to the accident.