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How Does a Deductible Affect the Amount an Insurance Company

Question 16

Multiple Choice

How does a deductible affect the amount an insurance company must pay?


A) not at all; the deductible is a matter between two insureds
B) the insurance company pays the loss less the deductible
C) the amount of the deductible is added to the loss amount
D) the deductible is added to the annual cost of premiums

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