Jenkins Company purchased a commercial umbrella policy with a $10 million limit and a $100,000 self-insured retention
The insurer required Jenkins Company to carry a $1 million per-occurrence limit on its general liability policy and a $1 million per-occurrence limit on its business auto policy. Jenkins purchased these required limits. A Jenkins driver was negligent while operating a company vehicle and killed another motorist. The court ruled that Jenkins must pay $5 million. How much of this amount will be paid by the umbrella policy?
A) $1.0 million
B) $3.9 million
C) $4.0 million
D) $5.0 million
Answer: C
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What happens when demand is elastic?
a. As price goes up, revenue goes down. b. As price goes down, revenue goes down. c. As price goes up, revenue goes up. d. As price goes up, revenue does not change.
An insured individual and the policy's beneficiary die from the same accident. The common disaster provision states the insurer will continue as if
A) the insured outlived the beneficiary B) the beneficiary outlived the insured C) no beneficiary was ever named D) the insured and beneficiary died at the same time