Michele's property insurance on her home was canceled by the insurance company after a period of 315 days. What would be her regular refund if the annual premium were $385.00? (Round your answer to the nearest cent)

Question

Quizplus · Accepted Answer

The refund is calculated based on the unused portion of the annual premium. Michele's insurance was canceled after 315 days, leaving 50 days of coverage unused (365 - 315 = 50). The daily premium is $385/365 = $1.0548. The refund is 50 days * $1.0548 = $52.74.

Michele's Property Insurance on Her Home Was Canceled by the Insurance