An insurer calculated that younger drivers are more inexperienced and should be charged higher premiums.?
Question by kirk11e: An insurer calculated that younger drivers are more inexperienced and should be charged higher premiums.?
Is this an example of social equity or actuarial equity?
Best answer:
Answer by mbrcatz
actuarial equity.
Give your answer to this question below!
Tags: calculated, charged, drivers, higher, inexperienced, insurer, More, premiums, Should, younger
The same is true for older drivers over 65 who have to pay more. This is actuarial analysis for insurance risk determination.