An increase in the amount of the deductible will __________.
A)increase the insurance coverage
B)decrease the replacement cost of the insured property
C)decrease the amount of insurance premiums
D)increase the personal property floater coverage for the insured property

Question

An increase in the amount of the deductible will __________. ​
A)increase the insurance coverage
B)decrease the replacement cost of the insured property
C)decrease the amount of insurance premiums
D)increase the personal property floater coverage for the insured property

Quizplus · Accepted Answer

Increasing the amount of the deductible will lower the amount of risk the insurer is taking on, and therefore, lower the insurance premiums paid by the insured.

An Increase in the Amount of the Deductible Will __________