What is the maximum payable amount for wage loss accident benefits?

The correct choice reflects the typical structure of wage loss accident benefits within automobile insurance policies, which are designed to provide financial assistance for individuals who are unable to work due to injuries sustained in an accident. In many jurisdictions, the wage loss benefit is calculated as a percentage of the insured person's average earnings, providing a balance that offers support without fully compensating lost wages.

The amount of 75% of average earnings is often established in insurance regulations because it aims to replace a significant portion of the income to help the injured party meet their ongoing financial obligations while also encouraging a timely return to work. By ensuring that the benefit does not fully cover income, the system promotes rehabilitation and reduces the potential for long-term dependency on benefits.

Understanding this structure is crucial for policyholders and those involved in accident benefits claims. It emphasizes the importance of knowing what their benefits will cover and planning accordingly for any financial gaps during recovery.