1. A person lost control of the vehicle that was being driven and hit a parked car, and damaged a storefront. The damage to the parked car was $4,300 and the damage to the store was $15,400. If the driver has 50/100/15 vehicle insurance coverage, what amount will the insurance company pay? Is the driver responsible for any of the damages?
2. The MacDonalds family of five has health insurance coverage that pays 75 percent of out-of-hospital expenses after a $600 deductible per person. Mrs. MacDonald incurred doctor and prescription medication expenses of $1,380. What amount would the insurance company pay?
3. Under Rose’s PPO, emergency room care at a network hospital is 80 percent covered after the member has met a $300 annual deductible. Assume that Rose went to a hospital within her PPO network and that she has not met her annual deductible yet. Her total emergency room bill was $850. What amount did Rose have to pay? What amount did the PPO cover?
