You hire a building contractor to construct a building for you. You are concerned, however, that if the contractor accidentally harms someone at the construction site, you may be held legally liable for the injury (since you own the site and you are the one who hired the contractor). Which of the following would be an effective method of managing this risk? (Check all that apply.) include a "hold harmless" provision in your contract with the building contractor do nothing - you cannot be held liable for someone else's (i.e., the contractor's) actions require the building contractor to add you to his liability insurance policy as an "additional insured" purchase your own coverage for indirect ("consequential") property losses Previous Page Next Page Page 9 of 45 Question 10 (2 points) In 2017, Carolyn paid a $1,000 auto insurance premium and did not have any losses. Likewise, in 2018, Carolyn paid another $1,000 premium and had no losses. However, in 2019, Carolyn paid her $1,000 premium and totaled her car in an accident, with the insurer paying her $40,000. These outcomes illustrate what characteristic of insurance contracts? the contracts are unilateral the contracts are conditional the contracts are personal the contracts are aleatory You are the insured under both a personal auto insurance policy and a life insurance policy. Assuming the insurance company pays the claims described below, in which of the following cases would the principle of subrogation apply? (Check all that apply.) you file a claim under your auto physical damage coverage for damage to your car caused when you crash it into a tree you file a claim under your auto physical damage coverage for damage to your car caused by a taxi driver a pedestrian injured by you in an auto accident files a claim under your auto liability coverage for her medical expenses your spouse files a claim under your life insurance when you are killed in an auto accident caused by a drunk driver You hire a building contractor to construct a building for you. You are concerned, however, that if the contractor accidentally harms someone at the construction site, you may be held legally liable for the injury (since you own the site and you are the one who hired the contractor). Which of the following would be an effective method of managing this risk? (Check all that apply.) include a "hold harmless" provision in your contract with the building contractor do nothing - you cannot be held liable for someone else's (i.e., the contractor's) actions require the building contractor to add you to his liability insurance policy as an "additional insured" purchase your own coverage for indirect ("consequential") property losses Previous Page Next Page Page 9 of 45 Question 10 (2 points) In 2017, Carolyn paid a $1,000 auto insurance premium and did not have any losses. Likewise, in 2018, Carolyn paid another $1,000 premium and had no losses. However, in 2019, Carolyn paid her $1,000 premium and totaled her car in an accident, with the insurer paying her $40,000. These outcomes illustrate what characteristic of insurance contracts? the contracts are unilateral the contracts are conditional the contracts are personal the contracts are aleatory You are the insured under both a personal auto insurance policy and a life insurance policy. Assuming the insurance company pays the claims described below, in which of the following cases would the principle of subrogation apply? (Check all that apply.) you file a claim under your auto physical damage coverage for damage to your car caused when you crash it into a tree you file a claim under your auto physical damage coverage for damage to your car caused by a taxi driver a pedestrian injured by you in an auto accident files a claim under your auto liability coverage for her medical expenses your spouse files a claim under your life insurance when you are killed in an auto accident caused by a drunk driver