Nick and Sheila Preston Are Married and Have Purchased a Comprehensive

Nick and Sheila Preston are married and have purchased a comprehensive major medical policy which covers them and their two sons,Wally and Brent.The policy has a $500 calendar year family deductible,a $2,500 stop-loss provision,and an 80% co-insurance clause.The following losses occur: On January 1,2013,Sheila was treated for an infection at a cost of $200,on July 1,2013,Wally was treated for an injury suffered while waterskiing at a cost of $10,000,on December 5,2013,Nick underwent eye surgery at a cost of $1,500,and on January 5,2014,Brent was treated for a broken leg at a cost of $2,000.
How much will the insurer pay for each of these losses?

Correct Answer:

Verified

January 1,2013,loss: ($200 - $200 of ded...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

View Full Answer For Free