If an insurance policy carries a $250 deductible for collision and no deductible for comprehensive, and an accident results in the following losses, what will be the reimbursement from the insurance company under your collision and comprehensive coverage? • Replacement of trailer hitch $200
• Replacement of rear bumper $150
• Replacement of computer being carried on the back seat $300
• Replacement of rear windshield $100

Question

Quizplus · Accepted Answer

The collision coverage will cover the rear bumper replacement ($150) and the rear windshield replacement ($100), totaling $250. After applying the $250 deductible, the reimbursement for collision is $0. The comprehensive coverage will cover the trailer hitch replacement ($200) and the computer replacement ($300) with no deductible, totaling $500. Therefore, the total reimbursement is $500.

If an Insurance Policy Carries a $250 Deductible for Collision