Larry has $25,000 of bodily injury liability coverage under his PAP. T

Larry has $25,000 of bodily injury liability coverage under his PAP. This limit is the minimum amount required by his state to be considered financially responsible.

While on a vacation, Larry visited a neighboring state which has a minimum financial responsibility limit of $50,000 for bodily injury. Which of the following statements describes the situation for Larry while he was in the neighboring state?
A) Larry’s policy was suspended while he was in the neighboring state.
B) Larry had only $25,000 of liability coverage.
C) Larry’s policy automatically provided $50,000 of liability coverage.
D) Larry’s policy automatically provided $100,000 of liability coverage.

ANSWER

Answer: C