Rusty has an accident where he is at fault. His automobile insurance coverage is 60/120/15.

Rusty has an accident where he is at fault. His automobile insurance coverage is 60/120/15. Two people were hurt and the court awarded them $60,000 each for injuries in the accident.

a) How much will the insurance company pay of those "awards?"
b) How much will Rusty have to pay himself?

Solutions

Expert Solution

As per the policy, $ 60,000 will be the maximum damages paid for bodily injuries to one person.

The total payment towards bodily injusries is $120,000

a: The insurance company will pay $60,000 to each person hurt since the maximum paid will be $120,000 which is within the dollar limit of total compensation towards bodily injuries.

b: Rusty will have to pay nothing since the entire amount is covered.

jeff jeffy answered 2 years ago

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