A contractor purchases commercial auto insurance with $500,000 coverage. A work truck causes $750,000 in damages. What is the contractor's personal exposure?
Correct Answer
B) $250,000 regardless of business structure
The contractor's exposure is $750,000 - $500,000 = $250,000, which represents the amount not covered by insurance, regardless of business structure for this type of liability.
Why This Is the Correct Answer
The contractor's exposure is $750,000 - $500,000 = $250,000, which represents the amount not covered by insurance, regardless of business structure for this type of liability.
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An employee earning $800 per week is injured and receives workers' compensation benefits at 80% of their average weekly wage. How much will the employee receive weekly in workers' compensation benefits?
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A contractor receives a stop payment notice on a project. Under Michigan lien law, how many days does the property owner have to respond with proof of payment or deposit?