AUTO: SECTION 3: LIABILITY

Question 1

SECTION 3: LIABILITY: WHAT IS COVERED:

Answer 1

• aka 3rd party liability
• protects you (+ anyone using car with consent) when someone injured/killed/property dmaged BY YOU (not own damage)
• MINIMUM IN ON $200,000 (property damage+ bodily injury)
  
  • ○ above this min: injury claims become priority (95%=190,000, PD 5%=10000)

Question 2

Pecuniary VS non pecuniary

Answer 2

• Pecuniary: economic losses
  
  • lost wages, medical bils (catastrpohic)
• Non-pecuiary: non economic losses
  
  • 2 conditions (Thresholds)
    
    • 1. Verbal definition
    • 2. Deductible $36,905.40
         * § family law: $15,000

Question 3

Threshold

Answer 3

• To meet thresholds, 3rd party must have:
  
  • died
  • permanent serious disfigurement
  • permanent serious impaitment of important physical, mental, psycological function

Question 4

rental/leased cars: orders in which policies respond:

Answer 4

• Person who rented car (paid for it)
• person who drove car
• Owener of rented car/leasing company (always last)