Question
Fred pays $170 monthly or $2,040 per year for car insurance. Fred’s insurance company will pay a maximum of $50,000 for bodily injury per accident and a maximum of $25,000 for property damage if Fred gets into an accident that he has caused.
What is Fred’s total policy limit based on the scenario?
A: $170
B: $2,040
C: $25,000
D: $75,000
What is Fred’s total policy limit based on the scenario?
A: $170
B: $2,040
C: $25,000
D: $75,000
Answers
GPT-4o mini
To determine Fred's total policy limit based on the scenario, we need to add the maximum coverage amounts for bodily injury and property damage.
- Maximum for bodily injury per accident: $50,000
- Maximum for property damage per accident: $25,000
Total policy limit = Bodily injury limit + Property damage limit
Total policy limit = $50,000 + $25,000
Total policy limit = $75,000
Thus, the correct answer is:
**D: $75,000**
- Maximum for bodily injury per accident: $50,000
- Maximum for property damage per accident: $25,000
Total policy limit = Bodily injury limit + Property damage limit
Total policy limit = $50,000 + $25,000
Total policy limit = $75,000
Thus, the correct answer is:
**D: $75,000**