Which of the Following Statements Is True About No-Fault Laws

question 29

Multiple Choice

Which of the following statements is true about no-fault laws?

• A)Under these laws, benefits are provided by insurers with regard to who caused the accident.
• B)Under this concept, first-party benefits such as PIP are provided with regard to fault as a way to encourage legal battles.
• C)According to this concept, in a multi-car accident, each injured party would receive compensation from his or her own insurance company.
• D)Under this concept, it would be mandatory to expend resources in determining fault.
• E)These laws are uniform.

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Definitions:

Possession

Possession refers to the state of having in one's control or ownership of property or goods, legally or factually.

Perfecting

The process of making a security interest or right legally enforceable against third parties, usually by filing a public notice.

Letter-of-credit Rights

Rights to payment under a letter of credit, which is a document from a bank guaranteeing that a seller will receive payment if certain conditions are met.

Economic Benefit

An economic benefit is a gain or advantage, usually measured in terms of money or value, received as a result of an action or transaction.