by amit » Wed Feb 11, 2009 11:42 am
According to a study by the National Women's Law Center, a 25-year-old woman in the Lone Star State will pay as much as 22 percent more than men do when buying individual coverage if she is not covered under an employer's health plan. A 40-year-old woman will pay as much as 37 percent more.
"Women are being charged more, simply because they're women," said Judy Waxman, who worked on the study.
Can there be any base or reason why this change in insurance rates is observed with women as compared to men? aaannnnnnnyyyyy expert comment :roll: :roll:
Posted: Mon Mar 16, 2009 12:19 am Post Subject:
Women live longer. They are smarter drivers especially at younger ages. They benefit from the above by paying lower premiums for life and auto insurance.
Women also need more health care during their child bearing years. They pay more for insurance during those years. After menopause, they pay about the same as men, in some cases less.
It's all about the babies.
Posted: Mon Mar 16, 2009 12:46 am Post Subject: insurance
I don't think it should matter who can 'bare the children' (LOL). men have as many, if not more Health problems than women do. Woman and men SHOULD be charged equally.
Posted: Mon Mar 16, 2009 12:49 am Post Subject:
Should insurance companies then charge young women more for auto insurance and women of all ages more for life insurance?
This is the only way that the rates will be equalized.
Posted: Mon Mar 16, 2009 06:33 am Post Subject:
Regarding the auto insurance rates, the differences are soon disappearing. Grils are no longer rated better than the boys.
Anyway, its true that women live longer and reported to have lesser problems related to heart and therefore, are charged lower than the male for life insurance. But, a woman is also at greater mortality risk during her child bearing phase, then why isn't she charged extra on her life policy in this period?
Any possible explanation!
Posted: Mon Mar 16, 2009 10:33 am Post Subject:
You have to look at it from the insurers side I guess. If someone was more likely to pose a risk then they would charge them more sonce the chances of paying out higher claims is more than likely. I know it may seem unfait but if you look at all angels and the different insuracnes it pretty much weighs out.
Posted: Mon Mar 16, 2009 11:00 am Post Subject:
Health insurance rates are generally based on morbidity over the course of a period of roughly 12 months. Most companies will adjust their rates approximately once per year.
Life insurance rates are based on mortality over the period of the term. Over the course of the term (i.e. 10 year term or 20 year term) I assume that women's mortality is still lower than that of men's who are in the same age range.
I haven't seen the statistics you refer to, but it may be that women's mortality goes up during their childbearing years, but not enough to be equal to male mortality.
Posted: Mon Mar 16, 2009 11:32 am Post Subject:
men have as many, if not more Health problems than women do. Woman and men SHOULD be charged equally.
I disagree with this statement (regarding health ins and premiums) SD based on the ''average'' guy...most won't go to the doc to begin with...they don't have yearly pap test, no child birth expense of course...never anything like a hysterectomy, no yearly mamograms..it just doesn't take as much to keep their 'parts' in good working order...now when they age...50-60plus...then they make have close to the same as a woman would have...Just ask yourself on the whole who goes to the doc more men or women?then why isn't she charged extra on her life policy in this period?
I 'think' because they live longer, and have less heart problems (which is also changing) than men..I totally agree though that teen girls are not better drivers than boys...seems to me (from 20 plus years in auto claims) boys accidents are generally due to higher speeds...and larger hits...but girls have a lot more accidents...talking on the phone, putting on make up looking everywhere but the road, and at 16 they know everything there is to know! :roll: I taught a girl and boy to driver, give me the boy any day! Also just in traffic in general, 90% of the time it's the teen girl that wandered into my lane or nearly hit me...rather than the boys.
Posted: Mon Mar 16, 2009 12:14 pm Post Subject:
Well, I think this is completely fair play. Women go to the doctors more than men do, have more complications than men do, get more tests done than men do (may be more can be added to the list) and hence pay more health insurance premiums. Men are more prone to road accidents than women and likely to make more auto insurance claims than women do and hence men pay more auto insurance premiums compared to their female counterparts :)
Posted: Tue Mar 17, 2009 09:50 am Post Subject:
i agree with Alston on this issue,as many of the actuaries will decide the premium on the basis of the mortality.
Mortality depends lot more on the geographic location and past history.If in some areas where mortality rate of the women is higher as compared to men then it is for very sure that they should be charged less as compared to the men. :wink:
Posted: Tue Mar 17, 2009 02:47 pm Post Subject:
I'd like to think that insurance premiums are driven by statistics and not gender bias.
I know that there have been issues in the not to distant past where women have been discriminated against with insurance. In the 70s a woman would have a difficult time getting car insurance, for example.
Premiums for health insurance are higher for women during their child bearing years, and the same or lower afterward. This to me is an indication that the rates are higher because their expenses is higher.
This is due to biology, not an unfair gender bias.
Actuaries don't like to make assumptions. They look at statistics and see which ages, genders, medical conditions, etc. cost them money and charge accordingly. The math determines the rates and not politics or gender bias. If that weren't the case, life insurance rates would not be cheaper for women.
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