Which of the following practices allows insurance firms to reduce the costs imposed by the high-risk customers?
A)A homeowners' insurance covers only the market value of structures and contents
B)A higher premium is charged under a group insurance than a single party insurance
C)A vehicle insurance charges different rates of premium each year
D)A fixed claim is honored by a fire insurance contract for all the houses in an apartment

Question

Quizplus · Accepted Answer

A homeowners' insurance covers only the market value of structures and contents, which reduces the costs imposed by high-risk customers.

Which of the Following Practices Allows Insurance Firms to Reduce