Despite the negative stereotype of ‘‘women drivers,’’ women under age of 25 are, on average, noticeably better drivers than men under 25. Consequently insurance companies have been willing to offer young women insurance with a discount of 60 percent over what they charge young men. Similar discrimination applies on the life insurance market given that women are expected to live longer. Sex-based discrimination for auto and life insurance is extremely controversial. Many people have argued that sex-based rates constitute unfair discrimination. After all some men live longer than some women, and there are some men who are better drivers than some women. In response several US states have laws mandating ‘‘unisex’’ insurance ratings. a. What are the likely effects of such interference with the market forces? b. Should the government allow insurance companies to base life insurance rates on sex? What are the risks for women and for men who were paying very different rates? Who gains and who loses? c. Should insurance companies be allowed to base automobile insurance rates on sex, age, and marital status? What are the consequences of having some groups paying much less than they would if rates were based on actuarial differences in accident rates across sexes and ages?
This question was answered on: Sep 13, 2020Buy this answer for only: $15
This attachment is locked
Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
About this QuestionSTATUS
Sep 13, 2020EXPERT
GET INSTANT HELP/h4>
We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.
You can also use these solutions:
- As a reference for in-depth understanding of the subject.
- As a source of ideas / reasoning for your own research (if properly referenced)
- For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
NEW ASSIGNMENT HELP?
Order New Solution. Quick Turnaround
Click on the button below in order to Order for a New, Original and High-Quality Essay Solutions. New orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.
WE GUARANTEE, THAT YOUR PAPER WILL BE WRITTEN FROM SCRATCH AND WITHIN A DEADLINE.