Auto insurance rates are lower for young women relative to young men.An unusually reckless young woman driver benefits from this

Question

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The fact that auto insurance rates are lower for young women relative to young men is an example of statistical discrimination. This is because insurance companies use statistics and actuarial data to determine rates, and their data show that young women are, on average, safer drivers than young men. Therefore, even an unusually reckless young woman driver benefits from this statistical discrimination and is likely to have a lower insurance rate than an equivalently reckless young man driver.

Auto Insurance Rates Are Lower for Young Women Relative to Young