George Has a Personal Auto Policy with a Per-Person Liability

question 2

Multiple Choice

George has a personal auto policy with a per-person liability limit of $300,000.He also has a personal umbrella policy with a limit of $2,000,000 and a self-insured retention of $1,000.How much will be paid by each policy if a person wins a judgment of $500,000 against George as a result of bodily injury arising from the auto accident?

• A)The auto policy will pay nothing,and the umbrella policy will pay $449,000.
• B)The auto policy will pay nothing,and the umbrella policy will pay $500,000.
• C)The auto policy will pay $300,000,and the umbrella policy will pay $199,000.
• D)The auto policy will pay $300,000,and the umbrella policy will pay $200,000.

---

Definitions:

Video Games

Interactive electronic games played through computers, gaming consoles, or mobile devices, involving challenges and user engagement.

Sterilization Methods

Techniques used to remove or kill all forms of life, including microorganisms, from a particular surface, fluid, or compound. In finance, it also refers to central bank actions to offset the effects of foreign exchange interventions on the domestic money supply.

Licensing Tests

Examinations or requirements that must be passed or fulfilled in order to legally practice a profession or activity.

Piercing Studios

Businesses specializing in the practice of piercing parts of the body to insert jewelry or ornamentation.