Question

If you're in a car accident caused by someone else who also has insurance, which type of insurance plan will not require you to pay out of pocket costs?
a.) High deductible plan

b.) Low deductible plan

c.) either A or B

d.) neither A or B

Answer 1

I believe the answer is: D. neither A or B
In insurance term, out of pocket cost refers to the type of cost/expense that would not be reimbursed by insurance company when you claim your insurance. This usually include things such as the service cost and various type of co-payments that need to be made before an insurance is claimed.

Answer 2

Answer: c.) Either A or B.

Explanation:

If the other driver’s insurance company acknowledges that the accident was caused by that other driver, then they have to pay for the repairs. If they don´t, the case could go to trial.

Furthermore, in many cases, your insurance will fix your car and seek restitution from the at-fault coverage.

Especially when both drivers have insurance, it is better to claim from the insurance of the driver at-fault, to avoid paying any deductibles or out of pocket costs.