Contemporary Mathematics for Business & Consumers 8th Edition by Robert Brechner,Geroge Bergeman

Exercise 39

Karen Doyle wants to purchase an automobile insurance policy with bodily injury and property damage coverage in the amounts of 25/50/25. In addition, she wants collision coverage with $250 deductible and comprehensive with $100 deductible. Karen is in driver classification 2 and lives in territory 3. Her vehicle, a new Ford Mustang, is in model class B. Because the car has an airbag, an alarm, and antilock brakes, the insurance company has assigned a rating factor of.95 to the policy. As her auto insurance agent, calculate Karen's total annual premium.