Comprehensive Automobile Insurance Policy for the "Typical" Insurance Purchaser

Comprehensive Automobile Insurance Policy

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Question

A comprehensive automobile insurance policy designed to be easily understood by the "typical" insurance purchaser is called:

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A. B. C. D.

A

The correct answer to the question is A. Personal automobile policy.

A personal automobile policy is a comprehensive automobile insurance policy that is designed to be easily understood by the "typical" insurance purchaser. It provides coverage for both bodily injury and property damage liability, as well as other optional coverages, such as collision and comprehensive coverage.

Bodily injury liability coverage is an insurance policy that covers the costs associated with injuries sustained by other people in an accident that you caused. Property damage liability coverage, on the other hand, covers the costs associated with damage to other people's property that you caused.

Auto insurance coverage is a general term that encompasses a wide variety of different types of insurance policies related to automobiles, including liability coverage, collision coverage, comprehensive coverage, and more.

Therefore, while bodily injury liability and property damage liability are both important components of a personal automobile policy, they are not comprehensive policies themselves. The comprehensive automobile insurance policy designed to be easily understood by the "typical" insurance purchaser is the personal automobile policy.