Stephanie has been driving for 4 years without any major auto accidents—until today. It was pouring rain
when she left class, and within minutes of leaving she was forced to make an evasive maneuver that caused
her to go into a spin on the wet road. After knocking an expensive, high-end luxury car down an embankment,
Stephanie came to a stop by smashing into the side of a mid-range sedan.
She was found to be at fault in the accident, so let's look at the extent of the damage she caused:
Luxury car: This car was totaled at a value of $95,000
Sedan: This car will need $4,000 in repairs
Hospital bills: The driver of the luxury car had $15,000 in medical bills for a broken arm, while his passenger
had $185,000 in medical bills for emergency surgery and recovery.
Like many Americans, Stephanie carries a 100/300/100 liability policy

1.) Using the summary of the accident, calculate the total dollar value of the property damage Stephanie
caused.

2.) Does she have enough coverage to cover the property damages?

3.)How much per person and per accident will Stephanie's insurance pay for bodily injury that she caused?
» Bodily Injury Per Person:
» Bodily Injury Per Accident:

4.)Given the fact that Stephanie does not have an umbrella policy in place, how much of the remaining
hospital bills for the passenger in the luxury car will she be held personally responsible for?