Allen was involved in an auto accident in which he was at fault. his car sustained damages in the amount of $1,327. the other vehicle had damages costing $1,309 in repairs. allen was not injured, but the driver of the other car required medical treatment costing $22,619 and a passenger's injuries totaled $24,051. additional property damage amounted to $3,460. allen's policy includes 50/100/50 liability, $250 deductible collision and full coverage comprehensive. determine the amount of damages the insurance company is required to pay?

The total amount the insurance company is required to pay is US$ 51,439 (46,670 for bodily injuries and 4,769 for property damages).

Step-by-step explanation:

1. What are a 50/100/50 liability, US$ 250 deductible collision and a full coverage comprehensive?

All these liability limits mean that Allen has:

1. Bodily injury up to US$ 50,000 per person and up to US$ 100,000 per accident, which covers medical costs, funeral expenses, lost income and pain and suffering of people injured by Allen.

2. Property liability up to US$ 50,000, which reimburses accident victims for the repair or replacement of belongings damaged by Allen. This covers both someone else’s car or property.

3. The full-coverage comprehensive covers damage to Allen's car that is not caused by a collision. Like this was an auto accident where Allen was at fault, the damages of his own car aren't required to be paid by the insurance company.

4. The US$ 250 insurance deductible is the amount Allen have to pay when he file a claim with his insurance company.

2. Determine the amount of damages the insurance company is required to pay?

According to the coverage limits provided to answer the question, Allen's insurance company is required to pay:

1. The medical treatment of the driver of the other car for US$ 22,619.

2. The medical treatment of the passenger of the other car for US$ 24,051.

3. The other vehicle damages and repairs for US$ 1,309.

4. The additional property damages amounted to US$ 3,460.

The total amount the insurance company is required to pay is US$ 51,439 (46,670 for bodily injuries and 4,769 for property damages).

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