why composite rating is used in auto insurance?
143000
It is probably the only method they can use to Insure both Good and Bad drivers.\n\nWhy should good drivers be penalized for the bad ones by paying the same.\nWhy would a bad driver want to correct his bad habit's if there is no punishment, per say?
842916
They are trying to protect you, me and everybody else who pays insurance premiums.\n\nThis is sad....but you, I and everybody else pay billions and billions of dollars a year in extra insurance premiums to people just like you who claim they are hurt in an accident and aren't.\n\nThey are ripping off the system and unfortunately legitimate victims like you get the run around from insurers because of the bad guys who rip the system off.\n\nIt is a major hassle to deal with extra exams and the lengthy delay in processing, but you have to realize the insurer needs to adequately investigate every claim so they don't pay more than they have to....which keeps you and me from paying extra premiums that we don't need to.
827128
It is about "Risk" as you know Insurance is a business "pure and simple".  Your company has "Loaded" rates, this means that someone in your company probably has a health problem that has cost your companies plan to spend thousands if not millions in paying out claims.  Every  single policy has a "Ratio" or profit margin to it.  What this means quite simply is that your companies plan is expensive because the fact that someone or several people are utilizing the plan.  When you purchase Individual or Family plans, you are Underwritten Individually based on your medical condition.  I will give you an example:\na. Sarah aged 40 applies for health Insurance she takes no medication is 5ft 9inches tall weighs in at 140lbs, has no health conditions, and at her last physical the doctor gave her a perfect bill of health.  She is offered a Tier 1 rate (lowest prices)\nb. James aged 40 applies for health Insurance he takes medication for High Blood pressure, is 6ft. 250lbs doctor said at his last physical that his cholesterol is too high and has prescripted a medication to lower it.  He is offered tier 4 rates and is asked to pay 150% high premium than Sarah.\nc. Group Insurance: If I try to get my wife coverage in my group, the rates are based on the health condition of my group.  We call it a RAF in the business "Rate Adjustment Factor" , this is based on claims usage throughout the previous year.  I hope this helps to understand how it works.
141445
It is the standard insurance that is required for you to satisfy the requirements of a conventional loan. Without it companies would have more trouble selling loans to each other. \n\nquote from source:\nThe industry's coverage standard for the mortgage clause is referred to as ATIMA or "as their interests may appear"
1144313
In addition to the answers already noted, here are some other reasons:\n\n~ the interest rates on consolidated student loans is tax deductible, whihc may lower your "real" cost of borrowing\n\n~ with consolidation, you may be able to extend your repayment period to give you more time to pay back your loans without fear of default or hurting your credit rating.\n\n~ speaking of credit rating, by consolidating your student loans into a single loan, you can effectively decrease the number of creditors on your credit history, thereby enhancing your overall credit score.
308804
Only a few companies are currently using BMI for underwriting and most only use it for the older ages.\n\nMost companies use simple height/weight as part of underwriting process to determine the rate class you will receive.
598935
Used to set insurance premiums, the probability of getting into accidents based on your car type/age\n\nFor evaluating worker performance, ie you're on time 95% of the time or only 80%\n\nHow can you actually tell when two sets of data are different? Need statistics.\n\n A lot of jobs in stats!!
656851
It means they not only accept but encourage people with bad credit ratings to apply.  The reason they do this is because they like to charge outrageous interest rates to those with bad credit, knowing those people have little choice but to accept the outrageous interest rates because they can't get approved by regular banks & loan companies.  It is a good risk for them because they make so much money from desperate people who have nowhere else to go.
776309
The law on this is very clear and simple.\n\nYou do NOT have to fix your car if you don't want to.\n\nThe check is made out to both as a strong inducement for you to get the repair made.\n\nIf you do not get the repair made, however, and you have another claim....they will deduct the amount they already gave you from the amount of any future claim and sometimes the deduction will be for more than what you got in the first place because depreciation on an already damaged car that is wrecked is greater than the value of a fixed car that's been wrecked again.\n\nBelieve me, you are way better off getting the car fixed than trying to pocket some of the money.\n\nIf you want the money that badly.....then just have the insurer recut the check to you and you find another cheaper place to get the work done.....or do it yourself and pocket the difference.
345954
I'll answer following your question sentence by sentence.  Your mechanic has a lower estimate than the insurer...Well, estimates are, in fact, "estimates".  The appraiser for the insurer may have seen additional damage, or their could have been a part price increase.  Or, the mechanic's estimate was for structural and mechanic repair but did not include aesthetics such as blending paint to match faded, old paint.  The insurer can't estimate damages to repair a vehicle halfway - they have to write the cost to repair it completely.  By the mechanic's estimate or theirs, your vehicle would still be totaled.  This is because of the likelihood of additional, hidden damage that could be found in the middle of repairing the bike as well as other elements of a property damage claim, such as loss of use of the vehicle.\nNext, you say they offered $9000 to settle.  This may well be the valuation "AutoSource" listed.  But that's all a "book value" is - a number from a list.  Ask the adjuster to show you the AutoSource valuation if you are curious.  A book value cannot take into account factors such as the condition of your individual vehicle, not to mention aftermarket refurbishments.  And, finally, adding $8400 in aftermarket parts does not make the vehicle worth $8400 more.  Whatever you add to the bike, it is still a used version of the bike the manufacturer built.  Essentially, the insurer will pay you what the market will bear for your bike as it was just before the accident - Market Value.  It's a negotiable amount.  So if you want to "fight" the insurance company, bring something to them showing that it is worth more than they offered.  Find your own "book value" or some comparable vehicles sold recently.\nBy the way, you called those "compensatory damages".  Interesting you use the term.  After all, the insurer's job here is to "compensate" you for the value of what you lost.  You think they owe you more?  Why?  Think about "why" and then bring the answer to the insurer with documentation to back your assertions.
401633
Depends on what it was and how much it was insured for.\nYou need to check your policy covering the item closely to see if there are any payout limits or exclusions.\nNote:  you may not want to make a claim if you think it is going to lead to a policy cancellation or rating (a bump into a higher premium amount).
88151
I'm an insurance agent and train representatives for customer service.  The plain english way that we explain subrogation is:  Say your friend borrows your car because hers is in the shop.  While she has your car she gets into an accident.  You call your insurance company and make a claim.  Your insurance company pays for the damages.  Then your insurance company will "go after" her insurance company to get their money back. That's pretty much it. As far as who pays extra on their insurance for the next 3 years (or so) all depends on what kind of coverage the driver has.
278325
It may help if you elaborate on what you are looking for. If you are looking for insurance to cover the actions of county commissioners in the course and scope of their duties as commissioners, you may be out of luck, plus they should be imune from personal liability anyway.\n\nIn any case, perhaps your question would be better suited for the Dept of Insurance in your state.
404350
As long as you are insured full comprehensive - then any motor policy should pay out for the repairs to your car.  \n\nFind out why they are being uncoperative.
849651
If I just graduated from high school, I don't have credit history. How would that help College/University. For graduate school, may be. They want to know where you stand. Nowadays, everyone is using credit score for everything. Yesterday, WSJ had full page ad from a well known insurance company that sells life and auto insurance to state why we check your credit score before we decide your premium. Their study found that applicants with good credit score are better drivers. I don't know about better health. My credit score is in 800 and I have BP and high cholestrol. But I am not applying for any life insurance either.
1152017
Hi.!!\n\nCould you explain the purpose of this question. Because that would really determine the answer. i have a huge resource of data on insurance.
858774
I was an insurance agent for years.\nSafeCo is excellent in their auto insurance division...stole a lot of business AND executives from GEICO.\nHartford is a VERY long standing and highly reputable insurance.\nI've actually done business with Travelers Insurance.  They are well rounded, easy to work with, and have a quite decent reputation.\n\nGo to the site below.  \nA M Best is a company that RATES Insurance companies.\nJust type in your company and peruse what the experts say.\nWarning.... these companies are ALL HUGE.\n\nhttp://www3.ambest.com/ratings/default.asp