A contractor's insurance policy has a $500,000 general liability limit with a $1,000 deductible. A claim is filed for $15,000 in damages. How much will the contractor pay out of pocket?
Correct Answer
D) $1,000
The contractor pays the $1,000 deductible, and insurance covers the remaining $14,000 since the claim is within policy limits.
Why This Is the Correct Answer
The contractor pays the $1,000 deductible, and insurance covers the remaining $14,000 since the claim is within policy limits.
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