wh@houxz.UUCP (W.HEINMILLER) (05/27/84)
I don't believe sex is allowed as a factor when setting auto insurance rates in Michigan. I've been out of the state for several years, and the changes were made just before I left Michigan, when I was more concerned with getting a job than watching insurance reforms. I think about 1980 the state required the insurance companies to justify every factor used in setting auto insurance rates. Although the companies could show a statistical relationship between sex and accidents, the statistics did not show it was a causal relationship. In fact, after age, miles driven, age/type of car, married/single, and living location were considered, the state found no significant differences in incurred costs between men and women, and insurance companies were prohibited from charging different rates based on sex. In the interest of fairness, the state also limited the differences in rates caused by place of residence, since in their opinion, those who lived in the riskiest locations (ghettos), often had little choice in where they lived. There was also some concern about allowing married/single to affect rates, but I think this factor was allowed. Can someone in Michigan verify this, and report to the net? Wayne Heinmiller Bell Communications Research houxz!wh Freehold, NJ