Scott was involved in an auto accident in which he was at fault. His own car sustained $2,380 damages and the other vehicle cost $2,748 to repair. Scott was not injured, but the driver of the other car required medical treatment costing $32,180. Scott's policy includes 10/20/5 liability, $250 deductible collision, and full coverage comprehensive. How much of the damages must the insurance company pay?

Question

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The insurance company is responsible for the damages to the other vehicle and the medical expenses of the other driver, up to the policy limits. The policy limits are 10/20/5, which means that the insurance company will pay up to $10,000 for property damage, $20,000 for bodily injury per person, and $5,000 for bodily injury per accident. In this case, the damages to the other vehicle are $2,748, and the medical expenses of the other driver are $32,180. The insurance company will pay the full amount of the damages to the other vehicle, and $20,000 of the medical expenses of the other driver. The total amount that the insurance company will pay is $22,748.

Scott Was Involved in an Auto Accident in Which He