Question

You have an insurance policy with a $300 premium and a $500 deductible. How much should you expect to pay the insurance company each month for coverage? A$200 B$300 C$500 D$800

Answer 1

<<The answer is Option B.>>

You should expect to pay the insurance company $300 each month for coverage.

Explanation:

To avail coverage by the insurance company every month, you must pay it the same amount as premium. When this is done, the company bears the expenses up to that amount on a monthly basis. Any amount exceeding this will have to be paid by you.