CAS Exam 6C Spring 2018, Question 4
Study guide: Exam 6C
Part a (1 point)
Provide a rationale for a government to embrace usage-based insurance programs (UBIP), but prohibit the use of personal credit score for personal automobile ratemaking purposes.
Part b (0.75 points)
Identify three concerns FSCO has regarding UBIP.
Part c (0.75 points)
Briefly describe three pieces of information that need to be clearly communicated to a UBIP consumer in Ontario.
Answer this question and see the worked solution
Concepts tested
- Usage-Based Insurance
- Risk Classification Restrictions
- Credit-Based Insurance Scoring
- Rate Regulation