Which of the following statements is (are)true concerning the use of an individual's credit history as an insurance rating factor?
I.Individuals with poor credit histories,as a group,generally file fewer homeowners claims than do individuals with good credit histories.
II.A poor credit history can be improved over time,allowing for the purchase of homeowners insurance at a lower premium.
A)I only
B)II only
C)both I and II
D)neither I nor II

Question

Quizplus · Accepted Answer

II is true because individuals can indeed improve their credit history over time, which can lead to lower insurance premiums. Statement I is false; typically, individuals with poor credit histories, as a group, tend to file more claims than those with good credit histories.

Which of the Following Statements Is (Are)true Concerning the Use