Exam 10: Analysis of Insurance Contracts

Under the terms of Jenny's auto insurance policy,she must pay the first $500 of any physical damage loss to her vehicle before her insurer will pay anything.What type of deductible is included in Jenny's auto insurance policy?

Reasons why a peril may be considered uninsurable and therefore excluded from insurance contracts include which of the following? I.The losses from the occurrence of the peril may be due to a predictable decline in value. II.The losses from the occurrence of the peril may be incalculable and catastrophic.

Mark owns a building that he insured for $90,000.The replacement cost of the building is $100,000.Mark's property insurance policy has an 80 percent coinsurance clause and no deductible.If Mark's building is destroyed by a covered peril,how much will Mark receive from his insurer?

A provision in a disability income insurance policy that requires a person to be disabled for 60 days before receiving benefits is an example of a(n)

Helen and John both own automobiles on which they carry liability insurance.If Helen is negligent and has an accident while driving John's car with his permission,how will each insurer respond to any liability judgment against Helen?