Kate is covered under her employer's group health plan. She is also covered as a dependent under her husband's group health plan. Under the usual coordination-of-benefits provision, how will each company respond to a claim filed by Kate?
A) Kate's plan is primary, and her husband's plan is excess.
B) Her husband's plan is primary, and Kate's plan is excess.
C) The plan of the person with the birthday earliest in the year pays first, and the other plan is excess.
D) Each plan will pay 50 percent of the claim.
Question 2
Eric's property was damaged in an accident. He phoned his agent to see if the loss was covered under his property insurance policy.
The agent said, As long as the cause of loss is not specifically excluded in the policy, the loss is covered. Based on the agent's answer, what type of insuring agreement appears in the policy?
A) unconditional coverage
B) named-perils coverage
C) extended-perils coverage
D) open-perils coverage
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