Practice 1 Describe A Few Exclusions And A Few Endorsements And Riders 2 Joe Phelps Is A Chemistry Aficionado For Hi 1 (74.59 KiB) Viewed 25 times
Practice 1 Describe A Few Exclusions And A Few Endorsements And Riders 2 Joe Phelps Is A Chemistry Aficionado For Hi 2 (25.06 KiB) Viewed 25 times
Practice 1. Describe a few exclusions and a few endorsements and riders. 2. Joe Phelps is a chemistry aficionado. For his twenty-ninth birthday last month, Joe's wife bought him an elaborate chemistry set to use in their attached garage. The set includes danger- ous (flammable) substances, yet Joe does not notify his homeowner's insurer. What problem might Joe encounter? 3. Joe has another insurance problem. He had an automobile accident last month in which he negligently hit another motorist while turning right on red. The damage was minor, so Joe just paid the other motorist for the repairs. Fearing the increase in his auto insurance premiums, Joe did not notify his insurer of the accident. Now the other motorist is suing for whiplash. What is Joe's problem, and why? 4. Kevin Kaiser just replaced his old car with a new one and is ready to drive the new car off the lot. He did not have collision insurance on the old car, but he wants some on the new one. He calls his friend Dana Goldman, who is an insurance agent. "Give me the works, Dana. I want the best collision coverage you have. Soon after he drives the car away from the lot, he is struck by an eighteen-wheeler and the new car is totaled. Kevin then discovers that he has collision insurance with a $500 deductible, which he must pay. He is upset because to him "the works" meant full insurance for all losses he might have
due to collision. Dana had thought that he wanted more cost-efficient coverage and had used the deductible to lower the premium. The applicable state law and insurer underwriting prac- tices allow deductibles as low as $250, although they can be much higher. a. Kevin wants to take Dana to court to collect the full value of the auto. What would you advise him? b. What does this tell you about oral contracts? inment she
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