Christie temporarily lends her car to her friend, Matt. Subsequently, Matt is involved in an accident while driving Christie’s car. Matt and Christie have personal auto insurance policies with liability insurance limits of $200,000 and $50,000, respectively. The courts awarded a liability judgement of $80,000 against Matt. How much will each insurance policy pay? A. Matt's insurance is primary and will cover the entire $80,000. B. Christie's insurance is primary and will cover $50,000. Mark's insurance is excess and will cover the remaining $30,000. C. The policies will split the losses on a pro-rata basis, with Matt's and Christie's insurers covering $64,000 and $16,000, respectively. D. Each policy will pay $40,000.

Liability insurance on something like a subjective insurance plan implements the driver no matter with whom the automobile would be conducted, actually given it's an allowed to sign up the vehicle. Liability insurance safeguards insurance premiums whenever an automobile controlled by somebody else is operated either by the insured. They would also normally be compensated according to their car insurance policies in a somewhat circumstance.
Besides, the compensation he maintains through his automobile is liability coverage for such a covered by insurance operating everyone else's vehicle. In many of these instances, even before driving on a highway, he doesn't own the subjective coverage could very well be implemented by the driver. Throughout the scenario mentioned, Matt was indeed killed in an accident whilst also trying to drive his friend's Christie vehicle.
Hence, Matt's homeowner's insurance liability coverage would then kick through first. The gross amount of liabilities is $80,000, according to the verdict. The personal injury allowance of Matt becomes limited to $200,000, adequate to be insured.

The latter choice does not fit the instance in question. So, "A. Matt's premium is primary and therefore will cover the full $80,000," is the right response.