Question

Sue Jones is insured for bodily injury in the amount of 10/20. She is at fault in an accident in which Albert Smith is injured. Also injured in the accident is a pedestrian, Sam Dickson. Albert's medical expenses total $12,000, Sam's come to $8,000. How much will the insurance pay?

Answer 1

Solution:

Albert's medical expenses is =  $ 12,000

Sam's come = $ 8,000

Add the amount = 12000 + 8000 = $ 20000

Sue Jones is insured for the amount = 10/20

Now, find the insurance.

(10/20)*(20,000) = 10000

Hence, $10000 pay for the insurance.

Answer 2

Answer:

So total Insurance would be  paid $18,000.

Step-by-step explanation:

10/20 means $10,000 this is maximum coverage for bodily injury liability for each person/ $20,000 is the policy limit.

so

Albert Smith will get $10,000 from the insurance company (the "per occurrence" limit) and Sam Dickson will get $8,000 because there's still an additional $10,000 left over for "policy limit".

So total Insurance would be  paid $18,000.