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by brogrammernot 810 days ago
It is through reinsurance mechanisms and the way you build the portfolio.

If you can’t use predictive attributes, many not allowed in California, you’re not going to get reinsurance interest because you can’t really balance the risk across different risk types for drivers.

So the end result is the customer pays more, despite their driving record being clean, because that’s the only way to manage through the risk.