4 ms·

> Yeah because insurance companies never actually look at real data and just go by their gut feelings on everything. Just like company execs never go by their

> Yeah because insurance companies never actually look at real data and just go by their gut feelings on everything. Just like company execs never go by their gut feelings and always actually go look at real data? Even companies that you'd think would have everything straight sometimes don't. Assuming that a company that should be a sophisticated actor is ALWAYS doing the correct thing is no less foolish than the converse.

vel0city 2y ago
Company execs aren't writing the policies, actuaries are. Actuaries which spend their days analyzing all the minutiae of data and trying to quantize risk. If anyone knows the real risk/reward of putting merchandise in cabinets by zip code it's some actuary at some insurance firm. Arguing insurance companies don't follow the data and usually behave irrationally is ignoring reality.
- simoncion 2y ago
  > Arguing insurance companies ... usually behave irrationally is ignoring reality. Arguing that I claimed that insurance companies usually don't follow the data and usually do behave irrationally is ignoring what I wrote, which is reproduced below. > Even companies that you'd think would have everything straight sometimes don't. Assuming that a company that should be a sophisticated actor is ALWAYS doing the correct thing is no less foolish than the converse.
  - vel0city 2y ago
    You're arguing this time they got it wrong despite not actually sharing any evidence. Understood. Your gut and vapid speculation of internet commenters is infallible unlike these supposed insurance companies. Which is funny, because even the idea these rates are being set higher is nothing but speculation in internet comments. I agree they probably get some things wrong, but I think they probably get things right more often than not when it comes to analyzing risk. I wouldn't bet against the insurance companies on any random thing, even though I acknowledge they do make some mistakes. Chances are the insurance company understands the generalized risks on whatever they're underwriting more than I do. If nobody was actually making claims for shrink, you really think the insurance companies would jack up the rates or require cabinets? It wouldn't just come from nowhere. And it's odd they only do it in some markets and not others. Around me there are no cabinets at Walgreens, CVS, Target, Walmart, and the other retailers mentioned in these comments. Obviously there's some level of targeting here going on, I wonder what data point they'd use...hmm...

vel0city 2y ago

Company execs aren't writing the policies, actuaries are. Actuaries which spend their days analyzing all the minutiae of data and trying to quantize risk. If anyone knows the real risk/reward of putting merchandise in cabinets by zip code it's some actuary at some insurance firm. Arguing insurance companies don't follow the data and usually behave irrationally is ignoring reality.

simoncion 2y ago
> Arguing insurance companies ... usually behave irrationally is ignoring reality. Arguing that I claimed that insurance companies usually don't follow the data and usually do behave irrationally is ignoring what I wrote, which is reproduced below. > Even companies that you'd think would have everything straight sometimes don't. Assuming that a company that should be a sophisticated actor is ALWAYS doing the correct thing is no less foolish than the converse.
- vel0city 2y ago
  You're arguing this time they got it wrong despite not actually sharing any evidence. Understood. Your gut and vapid speculation of internet commenters is infallible unlike these supposed insurance companies. Which is funny, because even the idea these rates are being set higher is nothing but speculation in internet comments. I agree they probably get some things wrong, but I think they probably get things right more often than not when it comes to analyzing risk. I wouldn't bet against the insurance companies on any random thing, even though I acknowledge they do make some mistakes. Chances are the insurance company understands the generalized risks on whatever they're underwriting more than I do. If nobody was actually making claims for shrink, you really think the insurance companies would jack up the rates or require cabinets? It wouldn't just come from nowhere. And it's odd they only do it in some markets and not others. Around me there are no cabinets at Walgreens, CVS, Target, Walmart, and the other retailers mentioned in these comments. Obviously there's some level of targeting here going on, I wonder what data point they'd use...hmm...