How much will the insurer pay for the funerals in the accident involving Danny and the children?

In situations involving auto insurance, the coverage for funeral costs is typically dictated by the specific terms outlined in the insurance policy. The correct answer indicates that the insurer will pay up to $100,000 for funeral expenses. This is likely based on the policy's coverage limits for bodily injury liability or personal injury protection, which often include provisions for funeral expenses when a fatality occurs due to an accident.

The reasoning behind this coverage is that it provides financial support to the victims' families, acknowledging the unexpected and tragic nature of losing a loved one in an accident. Policies often have limits to the amount they will pay for various benefits, including funeral costs, which is why the insurer specifies an upper limit of $100,000 rather than covering the total costs without limitations. Therefore, it's crucial for policyholders to understand their insurance contracts and the specific limits set for different types of claims, especially in unfortunate circumstances like accidents resulting in fatalities.