Today's Lecture - State Farm Car Policy Your use of your car

Definitions You or Your - means the named insured shown on the declarations page Your Car - means the car or the vehicle described on the declarations page

When and Where Coverage Applies When - Policy Period shown on the declarations page Where - in the U.S., its territories and possessions or Canada and (for liability, medical payments and physical damage coverage only) in Mexico within 50 miles of the U.S border

Section I - Liability Pays damages which an insured becomes legally liable to pay because of bodily injury to others and damage to property and defends any suit against an insured

Liability - Additional Coverages Court costs Interest on damages Premiums or costs of bonds Expenses incurred by an insured –Wages up to $100 per day –First aid at the accident –At their request

Liability Exclusions While charging persons for a ride For bodily injury to a family member For damage to property owned by, rented to or in the charge of or transported by an insured For liability assumed by the insured under any contract or agreement

Property Damage Liability – Example While driving your car, you run into another car. The accident is your fault and it costs $7,500 to repair the other car. How much would your policy pay?

Property Damage Liability – Example A0 B7400 C7500 DNone of the above

Bodily Injury Liability – Example While driving your car, you run into another car. The accident is your fault. You injure the driver of the other car. He incurs $30,000 in medical bills. He sues you and is awarded $120,000 for bodily injury. How much would your policy pay?

Bodily Injury Liability – Example A0 B30,000 C120,000 D150,000 ENone of the above

Medical Payments Pays reasonable medical expenses for accidental bodily injury that occurs to you while occupying a vehicle covered under the liability section or as a pedestrian if struck by a motor vehicle or trailer

Medical Payments - Example While driving your car, you run into a tree. The accident is your fault. You are injured and incur $28,000 in medical bills. How much does your policy pay?

Medical Payments - Example A0 B10,000 C25,000 D28,000 ENone of the above

Definition Occupying - means in, on, entering or alighting from

Medical Payments – Example 2 While getting out of your car, you trip on the curb and break your ankle. Your medical bills are $4,000.

Medical Payments – Example 2 A0 B4,000 C25,000 DNone of the above

Aggregate Coverages - Example While driving your car in Panama, you run into a van containing six people. Each person is injured and each wins a bodily injury liability award of $60,000. The van is damaged and costs $10,000 to repair. You are also injured and incur $5,000 in medical bills. How much will your insurance policy pay?

Aggregate Coverages - Example A0 B75,000 C315,000 D375,000 ENone of the above