Transportation Flashcards
Depreciation
The loss in value of a new car. Can be considered the biggest cost of owning a car
This is the price that the dealership laid for the car from the manufacturer
Invoice price
MSRP
The price if the car that the manufacturer recommends as a dealership charge (sticker price).
One way to purchase a car that will provide lower monthly payments, bit won’t own the title of the car
Leasing
Your at fault in an accident, damage other persons car and his passenger. Which coverage applies to them?
Property and bodily damage liability
Tracy hit a telephone pole. Which insurances will pay for her health and car repairs?
Medical payments and collision
Your hit by a hit and run. Which two coverages will pay for your health?
Med and uninsured motorist
You buy an inexpensive used car. To keep tot insurance premiums down, which 2 coverages should you not use?
Collision, comprehensive
Written or oral statement from a mechanic?
Written
Base price
Price of a vehicle with standard equipment (make sure dealer is charging the correct price for options)
Leasing vs Financing
Renting, Loaning
Open ended lease vs close ended
You can buy it
You must turn it in at the end of the contract
Illinois law requires which insurance
Liability
If you finance your car, the bank or lender will require you to have these two coverages
Collision and Comprehension
Policy holder has coverage of 200/400/100
Max personal injury ?
Max amount ? Injuries per incident
Max amount of ? property damage
200,000
400,000
100,000
