The purpose of gap insurance is to
A) pay the difference between the bodily injury liability limit purchased and the actual amount of bodily injury liability if it exceeds the limit.
B) pay the difference between the amount the insurer pays if a car is a total loss and the remaining amount owed on a lease or car loan.
C) pay the difference between the medical payments coverage limit and the actual medical expenses of injured family members or passengers in the insured auto.
D) pay the difference between the uninsured motorists coverage limit and the actual amount of the medical expenses incurred by the insured.
Question 2
Which of the following statements is (are) true with respect to the collision damage waiver on rented cars?
I. It is inexpensive and is provided at no charge by most rental car companies.
II. It waives the renter's liability for bodily injury liability arising out of use of the rented auto.
A) I only
B) II only
C) both I and II
D) neither I nor II
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