9. In California, the minimum insurance coverage all drivers must have is a 15/30/5 policy. Explain what each of these three numbers represents regarding your insurance coverage. (Section 16.2) (1 point) 10. Jose is trying to choose between two car insurance policies. Policy A has a $140 monthly premium with a $500 deductible. Policy B has a $90 monthly premium with a $1,500 deductible. Assuming everything else is the same on both policies, which insurance policy do you recommend to Jose? (This is an opinion question, but you should defend your point.) (Section 16.3) (1 point) 11. Jose decided to go with Policy B and recently got into a minor accident in a parking lot. The damage to his car is $300. Should he file a claim with his insurance company? Why or why not? Section 16.3 (1 point)
it's beginning to look like a homework dump ...
whats that suppose to mean ..
it means that you've posted about a dozen problem, all mashed together and hard to read, with no indication you have tried to solve any of them.
9. In a 15/30/5 policy, each number represents a specific type of coverage:
- The first number, 15, represents the bodily injury liability coverage per person. This means that if you cause an accident and someone is injured, your insurance will cover up to $15,000 for medical expenses for that individual.
- The second number, 30, represents the bodily injury liability coverage per accident. This means that if you cause an accident and multiple people are injured, your insurance will cover up to a total of $30,000 for all the medical expenses of those individuals.
- The third number, 5, represents the property damage liability coverage. This means that if you cause an accident and damage someone else's property, such as their car or other belongings, your insurance will cover up to $5,000 for those damages.
10. Choosing between Policy A and Policy B depends on Jose's personal circumstances and preferences:
- Policy A has a higher monthly premium of $140, which means Jose will have to pay more each month. However, it comes with a lower deductible of $500. This means that if Jose needs to file a claim, he would need to pay $500 out of pocket before the insurance kicks in.
- Policy B, on the other hand, has a lower monthly premium of $90. This means that Jose would be paying less each month. However, it comes with a higher deductible of $1,500. This means that if Jose needs to file a claim, he would need to pay $1,500 out of pocket before the insurance provides coverage.
Considering the information given, it is generally recommended to choose a policy with a higher deductible and a lower premium if the individual is a safe driver and unlikely to file frequent claims. This is because the lower premium can help save money in the long run as long as the individual can afford the higher out-of-pocket cost in case of an accident. However, it is essential for Jose to consider his financial situation, driving habits, and ability to handle unexpected expenses before making a decision.
11. Whether Jose should file a claim with his insurance company depends on various factors:
- Given that the damage to his car is $300, it is below the deductible amount of $1,500 in Policy B. This means that if he files a claim, he would have to pay the entire $300 out of his pocket while the insurance would not cover any of the costs.
- Filing a claim for a minor accident in a parking lot where the damage amount is below the deductible is generally not recommended. This is because filing a claim for minor damages can lead to an increase in premiums and potentially affect the individual's insurance record. It may be more cost-effective for Jose to handle the $300 repair expense himself rather than going through the insurance company.
However, it is essential for Jose to review his specific policy terms and conditions, consider his financial situation, and consult with his insurance provider to make an informed decision.