Question

question 7 (1 point)
gwen receives a bill from her auto insurance company, and she sends a payment to the company to make sure her policy is not cancelled. the cost of her policy is called the:
○ a co - insurance clause
○ b deductible
○ c premium
○ d exclusion

Explanation:

To solve this, we analyze each option:

• Option a (Co - insurance clause): It's about the sharing of costs between the insured and insurer after the deductible is met, not the cost of the policy.
• Option b (Deductible): It's the amount the insured pays out - of - pocket before insurance kicks in, not the policy cost.
• Option c (Premium): The premium is the amount paid to the insurance company to keep the policy active, which matches the description of Gwen paying to keep her policy from being cancelled.
• Option d (Exclusion): It refers to what the insurance policy does not cover, not the cost of the policy.

Answer:

c. Premium