Drudge Retort: The Other Side of the News
Tuesday, February 25, 2020

Allstate's Maryland filing reveals how an opaque algorithm it has been proposing around the country would have functioned in practice. It also offers a glimpse into a potential future where companies of all sorts, not just auto insurers, charge people different prices based on their behavior -- or expected willingness to pay, as projected by algorithms that draw on the seemingly limitless troves of data collected and sold about people every day.

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I never understood how the law can force you to buy something from a private business. If you legally need insurance to drive a car, then the government should provide insurance.

#1 | Posted by TFDNihilist at 2020-02-25 06:38 PM | Reply | Newsworthy 2

#1

The govt does provide insurance in the form of what we refer to as the "assigned risk plan". If you can't get insurance from a private carrier such as Allstate nor any other company, then one of those carriers will take you and the respective state will guarantee the carrier not lose.

The premiums suck.

Allstate tried this out and Maryland wouldn't let them. But if they want to come up with a way to price themselves out of the market, let them.

It's not like you can't find auto insurance elsewhere.

#2 | Posted by eberly at 2020-02-25 07:18 PM | Reply

... projected by algorithms that draw on the seemingly limitless troves of data collected and sold about people every day. ...

I saw an article a couple three years ago that said an insurance was using "how frequently someone charges their smartphone" as a determining factor in auto insurance rates.

I don't see any correlation but the insurance company seems to have found one.



#3 | Posted by LampLighter at 2020-02-25 08:00 PM | Reply

late night tv is full of ads from lawyers suing corporations who thought they found new way of screwin the customer...

#4 | Posted by Pegasus at 2020-02-26 11:26 AM | Reply

#4 | POSTED BY PEGASUS

So it makes sense to have a country where corporations are unregulated and the government is too small ("drown in a bathtub") to protect us from their negligence and malfeasance, right? We can't trust the government, but we should trust the corporations?

#5 | Posted by WhoDaMan at 2020-02-26 03:16 PM | Reply | Newsworthy 1

I knew some auto insurers factor in credit history, but not this.

#6 | Posted by AMERICANUNITY at 2020-02-26 09:08 PM | Reply

Ah yesss... the ol' "yer in good hands" bunch. Laissez-faire capitalism at its best. This is how its done suk-uzzzz. Meh... their commercials were always too stiff for my tastes. I like the funny commercial insurance companies. I'd rather laugh as they pilfer my pockets than be reassured.

#7 | Posted by RightisTrite at 2020-02-27 09:23 AM | Reply

"It also offers a glimpse into a potential future where companies of all sorts, not just auto insurers, charge people different prices based on their behavior -- or expected willingness to pay, as projected by algorithms that draw on the seemingly limitless troves of data collected and sold about people every day."

So buying insurance is now like buying a car only they have more data to know if you're bluffing when you say you can't afford the quote.

#8 | Posted by Hagbard_Celine at 2020-02-27 09:38 AM | Reply

Insurance companies are scum and should be required by federal law to use a high percentage of their revenue to pay out claims.

#9 | Posted by JOE at 2020-02-27 09:46 AM | Reply

"Insurance companies are scum and should be required by federal law to use a high percentage of their revenue to pay out claims."

Now you're talking ObamaCarCare!

#10 | Posted by danni at 2020-02-27 10:02 AM | Reply

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