Personal Auto PolicyQuestion 393 of 474
A policy carries $5,000 of medical payments per person. In one accident the insured driver incurs $6,500 of bills and two passengers incur $3,000 and $1,200. Part B pays:
a.$9,200
b.$15,000
c.$10,700
d.$5,000
Explanation
Medical payments is a per-person limit, so each injured person is looked at separately: the driver collects $5,000 of the $6,500, and the passengers are paid $3,000 and $1,200 in full, giving $5,000 + $3,000 + $1,200 = $9,200. The $5,000 answer treats the limit as one pot for the whole accident, which is not how a per-person limit works. Who caused the accident does not change the calculation.
This topic, taught in full in the Personal Lines Insurance Producer guide. Personal Lines Insurance Producer — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
Practice all 474 questions free — no signup required.
Own the complete Personal Lines Insurance Producer guide — PDF + EPUB, $19.99 →
Related questions on this topic
- An employer supplies a car for the insured's regular use and it is not listed on the insured's personal auto policy. When the insured causes a $40,000 loss in it, Part A:
- A teenager takes a neighbor's car without asking and causes an accident. Under the neighbor's personal auto policy, Part A liability:
- An insured drives into another state whose law requires higher liability limits than the policy carries. The out-of-state coverage provision:
- Part B medical payments coverage of the personal auto policy pays for:
- How does Part B medical payments coverage differ from Part A liability coverage?
- Uninsured motorists coverage pays the insured only when the other driver is:
Last reviewed: · editorial process
PrepPass team · Verified against California Personal Lines Insurance License Exam · How we review