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09 Nov 2019, 09:21
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B
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
65%
(hard)
Question Stats:
61% (02:22) correct
39%
(02:30)
wrong
based on 705
sessions
History
Date
Time
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Not Attempted Yet
Principle: If an insurance policy is written in such a way that a reasonable person seeking insurance would not read it thoroughly before signing it, then the reasonable expectations of the policyholder concerning the policy’s coverage should take legal precedence over specific language in the written policy itself.
Application: The insurance company should be required to cover the hail damage to Celia’s car, even though specific language in the written policy Celia signed excluded coverage for hail damage.
Which one of the following, if true, most justifies the above application of the principle?
(A) Celia is a reasonable person, and she expected the insurance policy to cover hail damage to her car.
(B) Given the way it was written, a reasonable person would not have read Celia’s insurance policy thoroughly before signing it, and Celia reasonably expected the policy to cover hail damage.
(C) The insurance policy that Celia signed was written in such a way that a reasonable person would not read it thoroughly before signing it, but Celia did read the policy thoroughly before signing it.
(D) Celia did not read the insurance policy thoroughly before signing it, and a reasonable person in her position would assume that the policy would cover hail damage.
(E) Celia did not read the written insurance policy thoroughly before signing it, and a reasonable person in her position would not have done so either.
Application: The insurance company should be required to cover the hail damage to Celia’s car, even though specific language in the written policy Celia signed excluded coverage for hail damage.
Which one of the following, if true, most justifies the above application of the principle?
(A) Celia is a reasonable person, and she expected the insurance policy to cover hail damage to her car.
(B) Given the way it was written, a reasonable person would not have read Celia’s insurance policy thoroughly before signing it, and Celia reasonably expected the policy to cover hail damage.
(C) The insurance policy that Celia signed was written in such a way that a reasonable person would not read it thoroughly before signing it, but Celia did read the policy thoroughly before signing it.
(D) Celia did not read the insurance policy thoroughly before signing it, and a reasonable person in her position would assume that the policy would cover hail damage.
(E) Celia did not read the written insurance policy thoroughly before signing it, and a reasonable person in her position would not have done so either.
09 Nov 2019, 09:44
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Imo. D
(D) Celia did not read the insurance policy thoroughly before signing it, and a reasonable person in her position would assume that the policy would cover hail damage. - Justifies the application of principle that though she did not read the policy terms before signing and any reasonable person would assume that signed policy might have cover all types of damage to the car.
(D) Celia did not read the insurance policy thoroughly before signing it, and a reasonable person in her position would assume that the policy would cover hail damage. - Justifies the application of principle that though she did not read the policy terms before signing and any reasonable person would assume that signed policy might have cover all types of damage to the car.
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Joined: 01 Feb 2019
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09 Nov 2019, 15:31
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The answer should be B.
If you follow the reasoning of this question, it goes as such:
1) an insurance policy is written in such a way that a reasonable person would not read it thoroughly before signing it.
2) a policy holder's (customer) expectations take precedence over the specifics of the insurance policy, given that option 1 is also true.
Option B follows this logic
Given the way it was written, a reasonable person would not have read Celia’s insurance policy thoroughly before signing it (compare to option 1).
Celia reasonably expected the policy to cover hail damage (compare to option 2).
If you follow the reasoning of this question, it goes as such:
1) an insurance policy is written in such a way that a reasonable person would not read it thoroughly before signing it.
2) a policy holder's (customer) expectations take precedence over the specifics of the insurance policy, given that option 1 is also true.
Option B follows this logic
Given the way it was written, a reasonable person would not have read Celia’s insurance policy thoroughly before signing it (compare to option 1).
Celia reasonably expected the policy to cover hail damage (compare to option 2).
