In: Finance
Ricky Bobby drove his car into a home and wiped out the car in front of him, the home, and a pedestrian. Ricky Bobby has auto liability insurance of 25/50/10. He also has medical payments coverage of $1,000 and a $250 deductible on his collision coverage. The following damage resulted:
Pedestrian's claims |
$29,000 |
Ricky's injuries |
1,500 |
Other driver's claims |
12,000 |
Passenger's (in other car) claims |
20,000 |
Damage to Ricky's car |
11,500 |
Damage to other car |
12,500 |
Damage to the home |
8,000 |
How much will Ricky's auto insurance coverage pay for this accident? How much will Ricky Bobby be personally responsible for?
Insurance Ricky
Pedestrian $25,000 $4,000
Other driver 12,000
Passenger 20,000
Total bodily injury $50,000 7,000
Other car 12,500
Home 8,000
Total property damage liability$20,500 10,000 10,500
Ricky’s injuries 1,000 500
Ricky’s car 11,250 250
Total payment $72,250 $22,250