Which of the Following Statements About Shopping for Auto Insurance

question 34

Multiple Choice

Which of the following statements about shopping for auto insurance is true?

• A)Adequate physical damage insurance on your auto is the most important consideration.
• B)Consideration should be given to dropping liability coverage if you drive an older car with a low market value.
• C)To obtain the lowest premium,an applicant should review his or her eligibility for all discounts offered.
• D)Price comparisons are of little value since auto insurers tend to charge the same premiums.

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Definitions:

Public Park

An area of open space provided for recreational use, usually owned and maintained by a city or national government.

Marginal Social Benefit

The additional benefit received by society from the consumption of one more unit of a good or service.

Public Park

A plot of land set aside by a government or community for recreational use by the public, often maintained with public funds.

Socially Optimum

A condition in economics where the allocation of resources maximizes the overall utility or welfare of society.