Actuarial Notes

Exam DISC-IA Practice Question 427

Study guide: Exam DISC-IA

An HO-3 (HO 00 03 05 11) has a $100,000 Coverage E limit and a $5,000 Coverage F limit. A guest falls on an icy walk at the insured's home. The insurer pays $2,000 of the guest's medical bills under Coverage F, spends $25,000 defending the guest's suit, and the suit ends in a $130,000 judgment, which the insurer pays up to its limit. How much does the insurer pay in total?

  • A) $102,000
  • B) $127,000
  • C) $132,000
  • D) $157,000

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