Question

What amount will the insured collect on the claim for the damage caused to his car when he hit a sign on an icy road, considering a $250 deductible and having already collected a $1,500 claim?

a. $250
b. $1,350
c. $1,000
d. $0

Answer 1

Considering a $250 deductible and that the insured has already collected a $1,500 claim, no additional amount would be collected on the claim. The answer is $0.

Step-by-step explanation:

The question refers to how much the insured will collect on a claim for damage caused to their car after hitting a sign on an icy road, considering a $250 deductible and that they have already collected a $1,500 claim. If the insured has already collected a $1,500 claim, it implies that the costs exceeding the deductible have already been covered up to that amount. As the insured has already collected a claim, without any additional information indicating further damage or additional payouts, the amount left to collect would be $0, as the claim to cover the damages seems already to have been paid out.