Reply #33: But it's not the same product.

[wickerwoman]

Basically when I'm buying insurance, I'm taking bets on the chance that I will need to claim it. Some people are just safer bets than others.

The apple analogy is bogus. Do you think it's unfair when you go to the track and all the horses pay off differently? But according to the apple model when I bet on a horse I'm buying a product and since all the products are the same (horses) they should all pay off the same.

Statistically, women, married people, older people, people with higher salaries are less likely to get into an accident and need to claim their insurance. Therefore, the insurance companies cut them some slack to keep their business and make up the profits on people who are statistically more likely to have an accident.

Is it discriminatory to bet on a horse that you know can run faster than another one?