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A comment on Some auto insurers are sending refunds to customers as crash rate falls. Parent comment

Re:Some auto insurers are sending refunds to customers as cr... by perl4ever on Monday April 06, 2020 @09:56PM (#22799709)
Do you think that the price an insurance company sets for risk in advance is by definition correct?

I mean, something that comes to mind in terms of current events, people selling puts (stock options) just before the stuff hit the fan with COVID-19, were selling insurance. It seems really difficult in my mind to argue that that insurance was priced correctly just before the panic started.

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Re:Some auto insurers are sending refunds to customers as cr... by gwright on Tuesday April 07, 2020 @12:34AM (#22800368)
> Do you think that the price an insurance company sets for risk in advance is by definition correct?

The question doesn't make sense. The price is neither correct nor incorrect, it is just the price. It may or may not lead to financial success based on a whole host of factors but that isn't the same thing as "correct" or "incorrect".

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Re:Some auto insurers are sending refunds to customers as cr... by imtringued on Tuesday April 07, 2020 @05:13AM (#22801601)
The insurance company can also just reduce the billed amount.
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