What will the primary and secondary policies pay when Eloise, borrowing Uriah's car, gets into an accident injuring four passengers?

In the scenario where Eloise borrows Uriah's car and is involved in an accident injuring four passengers, understanding how insurance policies work in terms of primary and secondary coverage is crucial.

Eloise, as the driver, is likely covered under Uriah's auto insurance policy, which would be considered the primary policy in this situation. The primary policy would provide the first layer of coverage up to its limits for any injuries caused to the passengers. Since the answer indicates a payment of $100,000 from the primary policy, this suggests that the bodily injury liability limit of Uriah's policy covers a significant portion of the claims arising from the accident.

The secondary policy comes into play if the damages exceed the limits provided by the primary insurance or if there are additional claims from multiple injured parties. The secondary policy, which in this case pays $50,000, indicates that it will cover amounts beyond what the primary policy can pay.

The option that states 25,000 likely refers to a separate coverage or policy limit impacting the overall payout to each passenger or as a cap for certain types of claims, adhering to what the insurance policies stipulate.

Thus, the primary policy's coverage of $100,000 and the secondary policy's added $