Question

car insurance
comprehensive coverage: theft incident payout
yara has comprehensive car insurance that covers vehicle theft. the policy limit is $15,000, and the deductible is $1,000.
yaras car, valued at $12,000, is stolen.
how much will the insurance company pay?
$14,000 $13,000 $16,000 $11,000

Explanation:

Step1: Understand Insurance Payout Logic

For comprehensive car insurance covering theft, the payout is calculated as the car's value minus the deductible, provided the car's value is within the policy limit. The car's value is \$12,000, deductible is \$1,000, and policy limit (\$15,000) is higher than the car's value.

Step2: Calculate Payout

Subtract the deductible from the car's value: \$12,000 - \$1,000 = \$11,000.

Answer:

\$11,000