Question

Assume that for this question the auto policy (PAP) provides Part A coverage of 50/150/25. Which of the following accidents would be fully covered by Part A? O Damage to the other person's vehicle totaled $30,000. O Damage to the policyholder's own vehicle totaled $10,000 O There were four people in the other car. Each person sustained medical bills equal to $40,000 O There were four people in the other car. The medical damages were for occupants one through four were $50,000, $40,000, $30,000 ad $20,000, respectively.

Answer 1

If you own a 50/150/25 Policy

The 50 means that your carrier will pay out up to 50000 for each person injured in an accident that was your fault.

150 means that 150000 of coverage altogether for injuries in an accident

25 means that 25000 of coverage for property damage to other peoples vehicle.

In short

50 - each person injured

150- altogether for injuries

25- property damage to other peoples

1. Damage to other persons vehicle totaled 3000?

Not fully covered because here maximum coverage is 25000

2. Damaged to policy holders own vehicle totaled 10000?

Fully covered

3. There were four people in the other car. Each person sustained medical bills equal to 40000?

Not Covered, because each person sustained medical bill equal to 40000 that means total bill is (40000*4) 160000 our coverage is up to 150000 so thats why this is not fully covered.

4. Covered, Because each person injured in an accident that was your fault will pay up to 50000 in our coverage policy 50/150/25. the above said persons coverage below 50000. so this is fully Covered