How Much of a Major Auto Accident Loss Will Be Covered? Ashley Diamond of Estes Park, Colorado, drives an eight

$-$

year

$-$

old Toyota valued at $

$5$

$,$

$6$

$0$

$0$

$.$

$$She has a $

$7$

$5$

$,$

$0$

$0$

$0$

$$personal automobile policy with $

$1$

$0$

$,$

$0$

$0$

$0$

$$per

$-$

person medical payments coverage and both colli

$-$

$$sion

$($

S

$2$

$0$

$0$

$$deductible

$)$

$$and comprehensive coverage. David Smith of Loveland, Colorado, drives a four

$-$

year

$-$

$$old Chevrolet Malibu valued at $

$9$

$,$

$5$

$0$

$0$

$.$

$$He has a

$2$

$5$

$/$

$5$

$0$

$/$

$1$

$5$

$$family automobile policy with $

$2$

$0$

$,$

$0$

$0$

$0$

$$in medical payments coverage and both collision

$($

$

$1$

$0$

$0$

$$deductible

$)$

$$and comprehensive insurance. Late one evening, while he was driving back from Rocky Mountain National Park, David's car crossed the centerline of the road, striking Ashley's car and forcing it into a ditch. David's car also left the road and did extensive damage to the front of a DO IT IN CLASS Page

$3$

$1$

$9$

$$roadside store. The following table indicates the damages and their dollar amounts. Amount $

$6$

$,$

$8$

$0$

$0$

$2$

$8$

$,$

$6$

$3$

$4$

$$Item Bodily injuries suffered by Ashley Bodily injuries suffered by Fran, a passenger in Ashley's car Ashley's car Bodily injuries suffered by David Bodily injuries suffered by Cecilia, a passenger in David's car David's car Damage to the roadside store

$9$

$,$

$6$

$0$

$0$

$2$

$,$

$7$

$0$

$0$

$1$

$2$

$,$

$8$

$4$

$5$

$9$

$,$

$5$

$0$

$0$

$1$

$4$

$,$

$1$

$2$

$3$

$.$

$$Complete the following chart and use the information to answer these questions:

$($

a

$)$

$$How much will Ashley's policy pay Ashley and Fran?

$($

b

$)$

$$Will subrogation rights come into play? In what way?

$($

c

$)$

$$How much will David's bodily injury liability protection pay?

$($

d

$)$

$$To whom and how much will David's property damage liability protection pay?