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(zoom in) You are a consultant about life and health insurance. You have some cases from your clients as follows. In all of the following
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You are a consultant about life and health insurance. You have some cases from your clients as follows. In all of the following questions, fill the number by rounding to the second digit after the decimal. Do not put "dollar sign," percent sign," or "thousand separators in the blank.) Case A: Alice is 40 years old and earns $80,000 annually. The multiple earnings approach to determine the amount of life insurance needed shows that she should have 7 times her earnings. An assessment shows the total financial resources needed of $2,052,000 and total financial resources available of $1,648,000. Questions: (1) Based on the multiple earnings approach, how much insurance should she have? $ (2) Based on the needs analysis method from the assessment, how much Insurance should she have? Case B: Nick and Shola Preston are married and have purchased a comprehensive major medical policy that covers them and their two sons, Wally and Brent. The policy has a $500 Calendar your family deductible, a $2,500 stop-loss provision, and an 80% coinsurance cause. The following losses occur on Januwy 1, Sheila was treated for an infection at the cost of $300, on July 1, Wally was treated for an injury suffered while waterskiing at the cost of $8,000, on December 5, Nick underwent eye surgery at the cost of $3,000, and on January 5 of the following year, Brent was treated for a broken log at the cost of $1,500 Questions: 3) How much will the insurer pay for each of these losses? January 1 loss: $ b. July 1 loss: C. December 5 loss: $ d. January 5 in the next year loss: $ a Step by Step Solution
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