Property valued at 140,00 . was insured for 90,000 . The policy contained an 80 coinsurance clause. A fire caused 56,00 . in damages. Compute the amount the insurance company paid for repairs.
Q. 2Insurance Company A has a standard 90 coinsurance clause for all fire insurance coverage. Insurance Company B has a standard 75 coinsurance clause for all fire insurance coverage. A building is valued at 195,000 . How much more insurance coverage would Insurance Company A require than Insurance Company B for full coinsurance coverage?
Q. 3An insurance company has a standard coinsurance clause of 90. Compute the amount of insurance coverage the owner of a building valued at 1,060,00 . must carry in order to avoid being the bearer of part of the insurance.
Q. 4Davis Insurance Company insured Driver Ashley's two cars at annual premiums of 3,400 for car A and 2,440 for car B. Ashley sold both cars after six months and canceled the insurance. The insurance company refunded the remaining six months' premiums at the short rate based on a 15 penalty. Compute the amount of the total refund.
Q. 5Harrington Insurance Company insures four moving vans for National Moving Company. Annual premiums for the four trucks are: Truck A = 3,480; Truck B = 3,360; Truck C = 2,640; and Truck D = 4,100 . Harrington Insurance Company charges a short-rate penalty of 15. At the end of the second month, National Moving Company sold trucks A and B and canceled their insurance. At the end of the fourth month, National Moving Company sold truck C and canceled its insurance. Compute the amount National Moving Company paid Harrington Insurance Company for insurance during the year.
Q. 6Martin Insurance Company issued insurance policies on buildings A and B in the same area for one year at a premium rate of 5.50 per thousand. Building A was insured for 75,000 . Building B was insured for 83,000 . Martin Insurance Company had a short-rate refund policy based on a penalty of 10 of the annual premium. At the end of the second month, building A was sold and the policy canceled by the building owner. At the end of the sixth month, Martin Insurance Company canceled the insurance on building B. Compute the amount Martin Insurance Company earned altogether by insuring buildings A and B.
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