Question

In: Finance

John turned 19 and started college at Northern Colorado University after a year of community college....

John turned 19 and started college at Northern Colorado University after a year of community college. His father bought him a 2003 Honda Accord for $3,500 to drive while in school. John’s father promised him if he did not have any accident he would buy him a brand-new Ford Mustang GT once he finished his undergraduate degree.

  1. How much liability coverage (per person bodily injury liability, total liability, property damage liability) do you recommend for his 2003 Honda Accord? Give 3 reasons why.

Solutions

Expert Solution

Liability Insurance. Vehicle liability insurance has two components always included together: Bodily Injurycoverage and Property Damagecoverage. Vehicle liability insurance is the basic insurance coverage that covers injuries or damage to other people or property if you're at fault for an accident.

liability insurance coverage helps cover the costs of the other driver's property and bodily injuries if you're found at fault in an accident. ... If you have liability insurance, your insurance provider will cover costs for the driver's damaged car, minus your deductible, and up to your covered limit.

When you are found legally responsible for a bike accident, bodily injury liability coverage is the part of your insurancepolicy that pays for the costs associated with injuries to the other person or people involved. Thiscoverage also provides a legal defense in the event that you are sued for damages.

Property damage is a type of liability coverage. Liability coverage always refers to damages to another's vehicle,property, and/or belongings that results from an accident you caused.


Related Solutions

John just turned 12 (at t = 0), and he will be entering college 6 years...
John just turned 12 (at t = 0), and he will be entering college 6 years from now (at t = 6). College tuition and expenses at State U. are currently $16,500 a year, but they are expected to increase at a rate of 3.5% a year. John is expected to graduate in 4 years. Tuition and other costs will be due at the beginning of each school year (at t = 6, 7, 8, and 9). So far, John’s...
John just turned 12 (at t = 0), and he will be entering college 6 years...
John just turned 12 (at t = 0), and he will be entering college 6 years from now (at t = 6). College tuition and expenses at State U. are currently $16,500 a year, but they are expected to increase at a rate of 3.5% a year. John is expected to graduate in 4 years. Tuition and other costs will be due at the beginning of each school year (at t = 6, 7, 8, and 9). So far, John’s...
John just turned 12 (at t = 0), and he will be entering college 6 years...
John just turned 12 (at t = 0), and he will be entering college 6 years from now (at t = 6). College tuition and expenses at State U. are currently $16,500 a year, but they are expected to increase at a rate of 3.5% a year. John is expected to graduate in 4 years. Tuition and other costs will be due at the beginning of each school year (at t = 6, 7, 8, and 9). So far, John’s...
John and Daphne are saving for their daughter Ellen's college education. Ellen just turned 10 at...
John and Daphne are saving for their daughter Ellen's college education. Ellen just turned 10 at (t = 0), and she will be entering college 8 years from now (at t = 8). College tuition and expenses at State U. are currently $14,500 a year, but they are expected to increase at a rate of 3.5% a year. Ellen should graduate in 4 years--if she takes longer or wants to go to graduate school, she will be on her own....
John and Eric are childhood friends who went to school and university together. After graduation, John...
John and Eric are childhood friends who went to school and university together. After graduation, John moved to Spain where he joined his family and started a business exporting authentic Spanish Artwork to clients around the World. Eric operates a retail store in Brazil, and the two friends agreed to start a business together. John would send artwork to Eric who would sell it in his store at a reasonable price. John shipped the Artwork by mail to ensure quick,...
John and Eric are childhood friends who went to school and university together. After graduation, John...
John and Eric are childhood friends who went to school and university together. After graduation, John moved to Spain where he joined his family and started a business exporting authentic Spanish Artwork to clients around the World. Eric operates a retail store in Brazil, and the two friends agreed to start a business together. John would send artwork to Eric who would sell it in his store at a reasonable price. John shipped the Artwork by mail to ensure quick,...
John Doe, a 19-year-old college student, was rock climbing when she fell 30 feet to the...
John Doe, a 19-year-old college student, was rock climbing when she fell 30 feet to the ground. Paramedics arriving at the scene found him lying in the supine position, unable to move any extremities and complaining of neck pain. He was awake, alert, and oriented to his current location, the date and day of the week, and the details of his fall. His responses to questioning were appropriate. He complained that he could not feel his arms and legs. His...
John, age 19, is a student at the local university. He has recently been diagnosed with...
John, age 19, is a student at the local university. He has recently been diagnosed with chronic renal failure and is scheduled for routine hemodialysis. Provide detailed information for each of the following: Appraise the possible accommodations (ADA) that he can request. Interpret the long term and short term complications of dialysis Appraise community resources that may be available for John
Is there a difference between community college statistics students and university statistics students in what technology...
Is there a difference between community college statistics students and university statistics students in what technology they use on their homework? Of the randomly selected community college students 67 used a computer, 86 used a calculator with built in statistics functions, and 22 used a table from the textbook. Of the randomly selected university students 40 used a computer, 88 used a calculator with built in statistics functions, and 39 used a table from the textbook. Conduct the appropriate hypothesis...
Scenario- program to increase marketing majors at university by increasing the number of community college dual...
Scenario- program to increase marketing majors at university by increasing the number of community college dual enrollment students implementation and evaluation- briefly explain what steps, resources would you as a college would imply for success of dual enrollment. How would you determine your success or failure in a timetable manner?
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT