PIP Coverage question
by Percival Terry - Hello everyone,
Just wondering if anyone could help answer this question from Unit 3. The answer is $10,400, but I'm not understanding how.
Question:
Pete has a Personal Auto Policy with basic PIP. Pete is driving his car and Pete takes his son, Jim and his and son’s friend, Joe, on a trip to Texas. Pete is involved in an auto accident. Pete suffers $8,000 in injuries, Jim suffers $5,000 in injuries, and Joe suffers $6,000 in injuries. How much will Pete's PIP pay for all injuries?
Re: PIP Coverage question
by Jan Bradburn- - Hi Percival,
Only Pete and his son are able to use Pete's PIP. Joe, the son's friend, cannot use Pete's PIP to pay for his injuries.
Pete - $8000 X 80% = $6400 and Jim (Pete's son) - $5000 X 80% = $4000
$6400 + $4000 = $10,400
I hope this helps. Please let me know if you have other questions.
Jan