1. Jack has an underinsured motorists coverage of $25,000 bodily injury per person without an endorsement. In his state, the minimum regulatory requirement for bodily injury liability insurance is $25,000 per person. Which of the following losses incurred by Jack will be paid by this underinsured motorists policy assuming that Jack has no fault?

1. Jack is hit by a driver who has a bodily injury liability insurance of $25,000 per person. Jack incurrs a medical expense of $35,000

2. Jack finds that the left rear fender of his car has been damaged by another driver who did not leave a name. Jack incurs an expense of $1,000 to fix the car.

-neither 1 or 2

-Both 1 and 2

-2 only

-1 only