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Exact(40)
First, premiums should reflect risk.
But theoretically insurance businesses would be able to tweak prices to reflect risk more closely.
Credit ratings reflect risk, and how much analysts worry about the county's ability to pay its creditors back.
Weaknesses in the system were laid bare, including ratings that did not accurately reflect risk and faulty assumptions on how diversified pools with multiple layers of leverage would react.
The insurance version uses the same information as a traditional credit score, but gives more weight to factors deemed to reflect risk, like bankruptcy filings and maxed-out credit cards, Mr. Toups says.
The FHA is pressing Congress for permission to adjust insurance premiums to reflect risk.
Similar(19)
Researchers conclude that since there is no risk that benefits paid to public employees will not be paid, the means by which the cost of those benefits are determined, and financed, should reflect risk-free investments.
How that performance is measured will also change, to reflect risk-adjusted profits as well as the bank's relative total shareholder return.There is much to like in the new plan.
Pedophiles chafe at suggestions that such comments reflect risks to minors.
Blow-ups of markets and firms often reflect risks in the real world.
"Yields reflect risks: bonds that have higher yields are riskier bonds".
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com