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- Insurance premiums are determined based on several factors, including12:
- The type of coverage.
- Your age.
- The area in which you live.
- Any claims filed in the past.
- Moral hazard and adverse selection.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.How are premiums determined? Insurance premiums are set by the likelihood of the insured having a loss or a setback out of their control and are based on specific attributes of risk that are deemed to be predictive of loss. Companies that take measures to reduce their risks have a good chance of also reducing their premiums.www.sovereigninsurance.ca/advice-and-tools/hot-t…The price of the premium depends on a variety of factors, including:
- The type of coverage
- Your age
- The area in which you live
- Any claims filed in the past
www.investopedia.com/terms/i/insurance-premium.… - People also ask
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Insurance premiums may increase after the policy period ends. The insurer may increase the premium for claims made during the previous period if the risk associated with offering a particular type of insurance increases, or if the cost of providing coverage … See more
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