CAS Exam 6C Fall 2019, Question 5

Study guide: Exam 6C

Part a (0.5 points)

Identify two main uses of credit scores in the personal property insurance industry.

Part b (1 point)

Briefly describe two arguments supporting and two arguments against the use of credit score by an insurer.

Answer this question and see the worked solution

Concepts tested

• Credit-Based Insurance Scoring
• Risk Classification Restrictions
• Unfair Discrimination
• Rating Variable

More questions from this set

• CAS Exam 6C Fall 2019, Question 4
• CAS Exam 6C Fall 2019, Question 6