Question

You damage your car and it will cost $7,200 to repair. You have a $1,000 deductible. How much will the insurance company pay?

Answer 1

Amount paid by insurance company = $6,200

Explanation:

Given:

Total cost of car damage = $7,200

Amount deductible = $1,000

Find:

Amount paid by insurance company for total damage

Computation:

Amount paid by insurance company = Total cost of car damage - Amount deductible

Amount paid by insurance company = $7,200 - $1,000

Amount paid by insurance company for total damage = $6,200