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Mathematics, 07.12.2020 02:40, EricaCox1
D. To prepare premium rates the amounts customers pay) for an insurance
plan, an insurance company conducts an extensive risk study to
determine the probability that a member of a certain group may require
a pay-off. Based on these probabilities, the expected amount of payoff
is charged to the customer as part of the premium. Explain why car
insurance companies charge a higher premium for teenage drivers
with a clean driving record than for adult drivers with a clean driving
record.
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Answers: 1
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D. To prepare premium rates the amounts customers pay) for an insurance
plan, an insurance company...
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