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Foundations of Casualty Actuarial Science

Indirectly, mileage may be correlated with multiple car
discounts and some age-gender-marital status
classifications.

For e.g, over 65 drivers may drive less or under more
favorable conditions, women usually drive less, married
men drive less than single men, and so on. Driving
conditions are taken into account, at least in geographical
territories. The territory is usually defined by the principal
garage, which may differ from where the car is usually
operated.

Driving conditions are considered more directly in the
use variables. Cost variations may also arise from
interactions with claims mechanism. Some people are
more claim conscious than others.

This affects the physical damage, personal injury
protection, and medical payments coverage for the
insured. Geographical differences may be more apparent
for liability coverage. Some people may be treated more
or less sympathetically by the jury. Some people may

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