Posted by anonymous on Monday, January 9, 2012 at 10:37am.
When you buy auto insurance, you have a choice of buying a full coverage policy or a basic “state minimum” policy. The difference is what gets paid for if you cause an accident. A full coverage policy will pay to fix or replace your car after you pay a deductible amount, like $500. A basic “liability” policy will only pay for damage to the other vehicle, if you cause the accident. Fixing your car becomes your problem. As you would expect, the full coverage policy costs more because it does more for you.
Answer the following questions about buying auto insurance.
a. What would be the situation in which you would probably buy just the basic auto insurance? Hint: It has something to do with the car you are driving and paying less for the insurance.
b.What would be a reason that you would be willing to pay more to have the full coverage auto insurance?
math - anonymous, Monday, January 9, 2012 at 11:05am
i totally don't get the question that is being asked :(
math - Ms. Sue, Monday, January 9, 2012 at 11:07am
a. Why wouldn't you buy a full-coverage policy?
b. Why would you buy a full-coverage policy?
math - anonymous, Monday, January 9, 2012 at 11:11am
a. because i would have to pay more for auto insurance
b. If i want the full coverage for car accidnts and other stuff then i would spend more on auto insurance
math - Ms. Sue, Monday, January 9, 2012 at 11:13am
A 10-year-old car isn't worth much, so you don't need full coverage insurance to pay for it if it's totaled. A new car needs full coverage to pay for the cost of a new car if it's totaled.
math - anonymous, Monday, January 9, 2012 at 11:57am
okay thank u
math - Ms. Sue, Monday, January 9, 2012 at 11:59am
Answer This Question
More Related Questions
- math - helping lil bro with homework and he forgot to bring his books home and I...
- financial resources - Bob Brown was recently involved in a minor auto accident. ...
- financial resources - Assignment Type: Discussion Board Deliverable Length: 2-3...
- ACCOUNTING - I have to prepare an adjusting entry for Dec 31, 2008 for prepaid ...
- accounting - I have to prepare an adjusting entry for Dec 31, 2008 for prepaid ...
- ACCOUNTING plz help thnx - I have to prepare an adjusting entry for Dec 31, 2008...
- math - A 28-year-old man pays $192 for a one-year life insurance policy with ...
- math - Assume that Mary Boyle had a homeowner’s insurance policy with $ 150,000 ...
- Health insurance - please check my answer thanks If both nondivorced of a ...
- Economyst or anyone please - Can someone help me on this? Bob Brown was recently...