Question

Consider Madeline and the adjustments she is considering making to her policy. First determine the effect each change would have on her monthly premium, then indicate whether each change is generally advisable by selecting "Yes" or "No" in the final column. Smart Savings on Insurance Premiums Madeline's policy is a FAP and provides liability coverage with limits of 250/500/250, $50,000 of medical payment insurance, and uninsured and underinsured motorist coverage with limits of 250/500. She has collision and comprehensive auto insurance, both with no deductible. Effect on Premium Advisable Increase collision and comprehensive deductible to $500 Eliminate Coverage C Switch from limits of 250/500/250 to 100/300/100 Suppose Madeline gets quotes from other auto insurance companies and finds that one company offers the same coverage as her current plan but for $15 less per month. True or False: Rates do not vary substantially across policies with identical coverage; therefore, you can assume Madeline's current company offers a higher quality of service and/or coverage than the other company. True False

Drop down options for all :

Effect on premium: Advisable:

Increase/decrease Yes/no  

Answer 1

Con = New Microsoft Office Excel Worksheet - Microsoft Excel - 0 X Insert View Home Cut Page Layout Formulas Data Review Calibri - 11 - A A = = = BI U-B- A Accounting Wrap Text 1 Merge & Center - - 3 Autosum 47 Eg Copy Paste Cell Styles Insert Delete Format Conditional Format Formatting as Table Styles Format Painter Clipboard A1 Clear Sort & Find & Filter Select Editing Font Alignment Number Cells fic A 4. Increase collision and comprehensive deductible to $500 5 elimainate coverage switch from limits of 250 500 250 to 100/300/100 Effect on premium increase decrease decrease advisable no yes yes TRUE 9 Rates do not vary substantially across the policies with identical coverage therefore, 10 company offers a high quality of service 11 12 15 16 Sheet4 Sheet1 Sheet2 Sheet3 + Ready + o Type here to search Ei e a D x 30 ^ to 9 150% 0 ve 15:38 a 1») ENG 29-02-2020