Auto Insurance Answers

While driving recklessly, Thomas lost control of his car and accidentally drove it into the water fountain in his neighbor’s front yard. Thomas is fully insured through his insurance company. Which of the following components of his insurance policy will cover the damage he caused to his neighbors fountain?

Auto insurance options offered by AA Auto Insurance are outlined in the table below. What monthly payment would you expect for an insurance policy through AA Auto Insurance with the following options?Bodily Injury: $25/50,000Property Damage: $25,000Collision: $250 deductibleComprehensive: $100 deductibleAA Auto Insurance Type of Insurance CoverageCoverage LimitsAnnual PremiumsBodily Injury $25/$50,000$22.50 $50/100,000$31.75 $100/300,000$40.25 Property Damage$25,000 $120.50 $50,000 $144.75 $100,000 $193.00 Collision$100 deductible$520.00 $250 deductible$415.25 $500 deductible$275.75 Comprehensive$50 deductible$110.25 $100 deductible$100.00

Which of the following is not considered one of the four basic types of auto insurance?

Which of the following is not a reason young drivers have higher auto insurance premiums than older drivers?

Susie is thinking about changing her auto insurance policy at Fret-No-More Auto Insurance. Her current policy includes the following options: $50/100,000 limit for bodily injury, $25,000 limit for property damage, $250 deductible for collision, and $50 deductible for comprehensive. Which of the following changes would increase Susie’s limits the most without increasing her monthly premium by more than $5.00? Fret-No-More Auto Insurance Type of Insurance Coverage Coverage Limits Annual Premiums Bodily Injury $25/50,000 $21.35 $50/100,000 $32.78 $100/300,000 $42.10 Property Damage $25,000 $115.50 $50,000 $142.44 $100,000 $193.78 Collision $100 deductible $490.25 $250 deductible $343.33 $500 deductible $248.08 Comprehensive $50 deductible $105.79 $100 deductible $88.23

Which of the following statements is not something you should be thinking when considering changes in your auto insurance policy?

Which of the following is not a factor that affects your auto insurance premiums?

After reviewing her driving record for the past 3 years, Cindy’s insurance company offers her a good driver discount of 4.5%. Her original policy was based on the premiums listed below. What is her new annual premium including the discount?Cindy's Auto Insurance PolicyType of Insurance CoverageCoverage LimitsAnnual PremiumsBodily Injury $50/100,000$31.75 Property Damage$25,000 $120.50 Collision$500 deductible$275.75 Comprehensive$100 deductible$100.00

Julien was involved in an accident in which he merged into another car, damaging the front fender of the other car. Julien is fully insured through his insurance company. Which component of Julien’s insurance plan will cover the damage he caused to the other car?

In auto insurance, a lower deductible means the customer _____.