Ideally,insurance companies would like to charge

Question

​Ideally,insurance companies would like to charge

Quizplus · Accepted Answer

Insurance companies would like to charge high premiums to high risk clients and low premiums to low risk clients. This helps them to balance out the risk and ensure that they have enough funds to pay out claims if needed. By charging high premiums to high-risk clients, they are able to cover the potential costs of claims that may be filed by these clients, who are more likely to experience issues that require payouts. Conversely, by charging low premiums to low-risk clients, they are able to attract more customers and generate more revenue without taking on as much risk.

​Ideally,insurance Companies Would Like to Charge

Ideally,insurance Companies Would Like to Charge