Math Problem Statement

Many insurance policies carry a deductible provision that states how much of a claim a person must pay out of pocket before the insurance company pays the remaining of the expenses. For example, if someone files a claim for $350 on a policy with a 5200 deductible, he or she pays $200 and the insurance company pays $ 150. In the following cases, determine how much a person would pay with and without an insurance policy. Complete parts (a) through (d) below. a. A person has a car insurance policy with a $800 deductible provision (per claim) for collisions. During a two-year period, the person files claims for $510 and $950, The annual premium for the policy is $580. With the insurance policy, the person would pay $00 . Without the insurance policy, the person would pay $ (Type whole numbers.) b. A person has a car insurance policy with a $200 deductible provision (per claim) for collisions. During a two-year period, the person files claims for $510 and $1350. The annual premium for the policy is $820. With the insurance policy, the person would pay $ Without the insurance policy, the person would pay $ (Type whole numbers.) c. A person has a car insurance policy with a $1000 deductible provision (per claim) for collisions. During a two-year period, the person files claims for $220 and $1700. The annual premium for the policy is $380. With the insurance policy, the person would pay $ (Type whole numbers.) Without the insurance policy, the person would pay S

Solution

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Math Problem Analysis

Mathematical Concepts

Basic Arithmetic
Deductibles
Insurance Premium Calculation

Formulas

Total Paid With Insurance = (Annual Premium × Number of Years) + Deductibles Paid
Total Paid Without Insurance = Sum of All Claims

Theorems

Cost Comparison Theorem in Deductible vs. Non-Deductible Insurance Scenarios

Suitable Grade Level

Grades 10-12