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Unformatted text preview: automobile accidents Auto insurance policy provisions Insurance policy: contract between an insurance company and the policy holder Auto insurance policy: specifies the coverage provided by the insurance company for a particular individual and vehicle Auto Insurance (cont’d) Coverage A: Liability Coverage Bodily injury liability coverage: protects against liability associated with injuries caused by the policyholder Property damage liability coverage: protects against losses that result when the policyholder damages another person’s property with his car Auto Insurance (cont’d) Policy limits often described as 100/300/50 $100,000 per person injured in an accident $300,000 for all people combined $50,000 for property damage Financial responsibility laws: laws that require individuals who drive cars to purchase a minimum amount of liability insurance...
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This note was uploaded on 02/22/2012 for the course FINANCE 250 taught by Professor Maryevans during the Spring '12 term at Rutgers.
- Spring '12