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Fabiola just backed her car into another car in the parking lot. She caused $35,000 of damage to the other car. The damage to Fabiola’s car amounts to $17,000. The driver of the other car, Larissa, claims that her neck was injured and has claimed that her medical expenses were $15,000. Fabiola’s auto insurance policy has split coverage of $25,000/$75,000/$25,000. Which of the following statements is most correct?

A. Part A of Fabiola’s auto insurance will cover the $17,000 of damage to the her car because the damage was less than $25,000.

B. Part B of Fabiola’s auto insurance will cover the medical expenses for Larissa because they are under $15,000 of bodily injury.

C. Part C of Fabiola’s auto insurance will not cover all of the $35,000 of damages to Larissa’s car because it is less than $25,000 of property damage.

D. None of the above are correct.

Financial Management, Finance

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