Author Question: Which of the following statements is true about uninsured motorists coverage under the Personal Auto ... (Read 81 times)

cool · **on:** Jul 11, 2018

Which of the following statements is true about uninsured motorists coverage under the Personal Auto Policy?

A) The benefits are paid without regard to fault.
B) The insured collects from his or her own insurer, and the insurer can recoup the loss payment from the other driver.
C) Uninsured motorists benefits are limited to the medical expenses of the insured.
D) Subrogation is never used when uninsured motorists benefits are paid.

Question 2

Assume that an investor is offered a choice of a risk-free government bond or a high-risk corporate
stock. Further assume that the expected return is the same for both. According to one of the axioms
of finance, which investment would be chosen?

A) the corporate stock B) the government bond
C) neither, the investor would be indifferent D) none of the above