Cap&Trap and alternatives in price discrimination

CAP & TRAP AND ALTERNATIVES IN PRICE DISCRIMINATIONCAP & TRAP Y ALTERNATIVAS EN LA DISCRIMINACIÓN DE PRECIOS Imogen Hirsh and Hirbod Assa Reception date: August 8th 2020Acceptance date: October 10th 2020 Abstract Cap and Trap is a mechanism for smoothing rate change at policy renewal. However, this method still can expose an insurance company to a potential conduct risk. Individual clients could be overcharged or undercharged on an individual basis for their risk. This paper...
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