While attending classes at her college, Lisa parks her Corvette on the street and locks it. When she returns, it is gone. She reports its loss to her insurer and notifies the police immediately. Because she must commute to school and to work, she rents a car for $180 per week, or $28 per day for any part of a week. Twenty-three days after her car disappeared, it is recovered. It has been driven over 12,000 miles, its right rear fender has been destroyed in an accident, and the interior has been vandalized. The low estimate for repair of the exterior and interior damage is $23,000. The actual cash value of her car is $16,000. Lisa has a PAP with other-than-collision coverage and a $200 deductible. Explain her coverage to her, noting what she can expect to recover from her insurer, and why.

Question

Jaylee Crane

Business

26 September, 02:32

While attending classes at her college, Lisa parks her Corvette on the street and locks it. When she returns, it is gone. She reports its loss to her insurer and notifies the police immediately. Because she must commute to school and to work, she rents a car for $180 per week, or $28 per day for any part of a week. Twenty-three days after her car disappeared, it is recovered. It has been driven over 12,000 miles, its right rear fender has been destroyed in an accident, and the interior has been vandalized. The low estimate for repair of the exterior and interior damage is $23,000. The actual cash value of her car is $16,000. Lisa has a PAP with other-than-collision coverage and a $200 deductible. Explain her coverage to her, noting what she can expect to recover from her insurer, and why.

+3

Answers (1)

Know the Answer?

Jose Mccoy · Answer 1

The maximum money estimation of vehicle is $ 16,000 which LISA can guarantee, Also Lisa would have the option to guarantee the lease of 23 days from the safety net provider.

3 entire weeks = 180 * 3

3 entire weeks = $540

what's more, for 2 days extra = 28 * 2 = 56

= $596 vehicle rental

As the collision isn't secured she wont get the case for right bumper which has been obliterated.

So she would get $16,000 - the harms on the correct bumper - 200 which is deductible + 596 which is vehicle rental charges borne by LISA.