if an insurance company increases their premiums, they are likely to experience a greater chance of

Question

26-10-2022
Business

Answered

if an insurance company increases their premiums, they are likely to experience a greater chance of

Answer :

Other Questions

1. Why do you think the mathematical models used by insurance companies are so complex? | 2. What is at stake if an insurance company's models aren't particular

the monthly premium for kevin’s renters insurance is $15, and his deductible is $500. during the month of april, someone breaks into his apartment and steals or

The mallards pay their two quarterbacks $7. 2 million and $1. 4 million. If the team salary is $33 million a year and their budget for quarterbacks is 25% of to

you have $3000 per month to cover your expenses. you estimate your monthly costs to be rent of $1200, car expenses of $700, utilities of $200, insurance of $300

Which statement is true about certificates of deposit? true OA. They are drafts issued by a bank. OB. They are a bank's promise to pay a sum of money. OC. They

Identify the pair of points that can represent an increasing function that has a greater rate of change than that of the function.

Naomi, the product line manager for a small family business believes that it is time for the company to begin exporting its product to foreign markets. Her fath

rafikiedu08 rafikiedu08 · Answer 1 · 2022-10-28T11:11:20-04:00

If an insurance company increases its premiums, they are likely to experience a greater chance of increased adverse selection.

In general, the term "adverse selection" refers to a situation in which sellers have knowledge about a certain feature of product quality but purchasers do not, or vice versa.

Adverse selection in the context of insurance refers to the propensity for people with risky occupations or lifestyles to buy policies like life insurance. In some situations, the buyer actually possesses greater knowledge (i.e., about their health).

Avoiding adverse selection in insurance requires identifying subgroups of people who are more at risk than the overall population and charging them more premiums.

To learn more about Adverse selection visit: https://brainly.com/question/13751787

#SPJ4