Question 7

Insi wiance and Jana for lears artis ssion and in which iend's car sa $500 For other- car of his friend, Mary Lynn. Mary Lynn carries 33 of liability insurance on her car under a PAP. Jamison is a also insured under his mother's PAP, which provides $500,000 of liability coverage. Assume that Jamison has an accident while using Mary Lynn's car and is found to be legally liable in the amount of $400,000. How much, if any, will each policy pay? Explain your answer. 7. Kyle has a PAP with liability limits of $50,000/ $100,000/$25,000. He failed to stop at a red light and hit a van, which sustained damages of $15,000. Three passengers in the van were injured and incurred the following bodily injuries: Passenger A, $15,000 Passenger B, $60,000 Passenger C, $10,000 Inter sou son arti anc furnished Hent with pany car ist claims ters age Kyle was also injured and incurred medical bills of $10,000. His car sustained damages of $10,000. Because of his injury, Kyle was unable to work and lost $5,000 in wages. How much will Kyle's insurer pay under the liability cover-age (Part A) section of his PAP? Explain your answer. National Associatio a link to all state a considerable am insurance. Visit th naic.org bat- ion are Dad ked Progressive Casual site that gives aut gressive claims it sive also provides Visit the site at progressive.com an lost The INTERNET RESOURCES Carinsurance.com allows shoppers to compare rates from multiple insurance companies . Shoppers enter informa- tion on a quote form, then Carinsurance.com contacts the companies directly to provide an immediate compari- son of rates. Visit the site at dly has PAP and RAND Institute for and Regulation The Institute cor and analysis con studies carinsurance.com