Re:How Do Insurance Companies Know My Health History? (2017)
by nerdponx on Wednesday October 17, 2018 @10:52AM
(#18239627)
as long as the average premiums cover the average costs for the pool
Not even. In P&C insurance at least, the premiums are invested. Even if you operate at an actuarial loss (i.e. you pay out more than you receive in revenue), you can still make a profit on the investment income.
Not even. In P&C insurance at least, the premiums are invested. Even if you operate at an actuarial loss (i.e. you pay out more than you receive in revenue), you can still make a profit on the investment income.