How much would a contractor pay in premiums for $300,000 of coverage at a rate of $8 per $1,000 without any discounts?

To determine the amount a contractor would pay in premiums for $300,000 of coverage at a rate of $8 per $1,000, you'll first need to understand how to calculate the premium based on the coverage amount.

The rate is $8 per $1,000 of coverage. To find the total number of $1,000 units in $300,000, divide the coverage amount by $1,000:

[

\text{Number of units} = \frac{300,000}{1,000} = 300

]

Next, multiply the number of units (300) by the rate ($8) to find the total premium:

[

\text{Premium} = 300 \times 8 = 2,400

]

Thus, the contractor would pay $2,400 in premiums for $300,000 of coverage at a rate of $8 per $1,000. This calculation correctly reflects the cost structure provided in the question.