According to Michael C. Dubin, a consulting actuary for Milliman & Robertson, insurance organizations can increase their profits by putting sport utility vehicles (SUVs) in their own rating classification for liability rates.
Dubin cited the Highway Loss Data Institute’s discovery that SUVs have 72 percent more property damage liability loss than other vehicles. His study was recently published by Bests’s Review.
There are 3 million SUVs on the road in the U.S. Dubin argued that SUVs present risk characteristics different than regular passenger vehicles and that company’s would be well-served in classifying them accordingly.
Was this article valuable?
Here are more articles you may enjoy.
Older, Wealthier Renters Drive Changes in Insurance Needs 
Danone US Sues Chobani Over High-Protein Yogurt Labeling Claims 
Flood Insurance Gap Will Squeeze Local Governments and Homeowners, Moody’s Says 
Ship Owner Seeks Dismissal of Economic Loss Claims From Baltimore Bridge Collapse 
