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Insurance · General

A policy has a $100,000 per-occurrence liability limit and a $300,000 aggregate limit. Two separate claims of $80,000 and $90,000 occur in the same policy year. What is the total payout?

Correct answer

$180,000

  1. A $170,000
  2. B $180,000
  3. C $190,000
  4. D $300,000

Why this is the answer

Per-occurrence limit: each claim is limited to $100,000. But the aggregate caps total payouts for the policy period. Claim 1: $80,000 (under $100K limit, paid in full). Claim 2: $90,000 (under $100K limit). Total: $170,000 — still under the $300,000 aggregate. Answer: $170,000. Wait — both are under the per-occurrence limit, so both are paid in full = $170,000. Correct answer is 0 ($170,000).
Source: Adjuster Exam, Per-Occurrence vs Aggregate Limits

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