Question on a Question

Question on a Question

by Jonathan Ricca -
Number of replies: 2

 

Joe wants to try out his new SUV so he takes his friend Ted on a road trip. While they are in Georgia they are involved in a not at fault accident and both Joe and Ted are injured. Joe carries basic PIP and $1000 Med Pay. He has $4000 in medical bills and Ted has $6000 in medical bills. How much will Joe’s PAP pay in PIP and Med Pay?
Choose one answer.
A. $10,000 Incorrect
B. $5,000 Correct
C. $9,800 Incorrect
D. $5,200 Incorrect
Can somebody please explain this?

 

 

In reply to Jonathan Ricca

Re: Question on a Question

by Jan Bradburn- -

Joe's PIP will pay $4000 X80% = $3200 and his Med Pay will pay the remainder, $800.  Ted cannot use Joe's PIP (because you can only use your own PIP coverage) and he cannot use his PIP coverage because he is out-of-state in an unowned vehicle.  But Ted is eligible to use Joe's Med Pay so he will also have $1000 toward his medical expense.

Joe = $3200 + $800 = $4000 (total cost of his medical expense)

Ted = $1000

Total = $5000