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When I got my driver's license at age 17 (or possibly the learner's permit? I forget), we learned that the car insurance company would reduce the premium for me

When I got my driver's license at age 17 (or possibly the learner's permit? I forget), we learned that the car insurance company would reduce the premium for me if we regularly submitted them some kind of proof that I was getting good grades. It's possible this was some kind of "public-service program to encourage desired behavior", but I suspect that at least part of why they did it was because straight-A students are less likely to get into accidents. For medical insurance, it seems they could at least do something like "if you send us evidence of healthy exercise/diet/weight, then we'll lower your premiums; otherwise you'll get a premium based on the estimated risk of the set of people who don't do this". (If the government doesn't forbid it. healthcare.gov says "They also can’t take your current health or medical history into account", which sounds like it might rule out some of that.)

lotsofpulp 7y ago
This already happens, health insurance plans and employers give rebates in exchange for proof of gym visits/daily steps/gym membership.
traviscj 7y ago
I’m much more cynical: 1. It was probably a tax write off. 2. It was probably also both a community service project AND a reflection of lower expected insurance payout. 3. Maybe the straight-A students are correlated with insurance payers that would rather pay the repair known 1-off payment (or skip doing anything at all) vs the unknown recurring increase in insurance payments? (Source: drove a dented-up pickup for over a year after a short romp along/into an orchard)
- lotsofpulp 7y ago
  1. What would a tax deduction have to do with an insurer charging lower premiums to its customer? 2. The lower expected payout is exactly what an insurance company is trying to determine, and they’re very good at doing that assuming they have lots of data. 3. Most vehicle insurance cost are liability related, meaning the damage their insured to others, and namely healthcare costs. A collision with another person or their property will not be fixed without the insurance company getting involved, and a reduction in those is what the insurance company is betting on.

lotsofpulp 7y ago

This already happens, health insurance plans and employers give rebates in exchange for proof of gym visits/daily steps/gym membership.

traviscj 7y ago

I’m much more cynical: 1. It was probably a tax write off. 2. It was probably also both a community service project AND a reflection of lower expected insurance payout. 3. Maybe the straight-A students are correlated with insurance payers that would rather pay the repair known 1-off payment (or skip doing anything at all) vs the unknown recurring increase in insurance payments? (Source: drove a dented-up pickup for over a year after a short romp along/into an orchard)

lotsofpulp 7y ago
1. What would a tax deduction have to do with an insurer charging lower premiums to its customer? 2. The lower expected payout is exactly what an insurance company is trying to determine, and they’re very good at doing that assuming they have lots of data. 3. Most vehicle insurance cost are liability related, meaning the damage their insured to others, and namely healthcare costs. A collision with another person or their property will not be fixed without the insurance company getting involved, and a reduction in those is what the insurance company is betting on.