Safe Auto Insurance Advertises "Minimum Coverage for Minimum Budgets" for Its

question 155

Multiple Choice

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance. Which of the following best describes Safe Auto's approach?

• A) Customers often use price as an indicator of quality, and Safe wants to be seen as a low-quality provider.
• B) This type of advertising makes insurance more tangible to the customer.
• C) Safe wants to reassure customers that they provide the highest level of service quality available.
• D) Because market conditions limit prices on auto insurance, Safe uses this approach to gain customers.
• E) For some services, customers look for the low-cost provider, which is what Safe claims to be.

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Definitions:

Physically Disabled

Referring to individuals who have limitations on their physical functioning, mobility, dexterity, or stamina due to a bodily impairment.

Counterconditioning

A behavior therapy technique where an unwanted response is replaced with a more desirable one by associating the feared object with a new, more positive response.

Systematic Desensitization

A behavioral therapy technique used to reduce phobic responses through gradual exposure to the feared object or situation, combined with relaxation exercises.

Phobia

An exaggerated, unrealistic fear of a specific situation, activity, or object.