Asked by Sydney Woolard on Sep 24, 2024
Verified
Progressive Insurance's 'Tripsense' monitors driving patterns of the people who purchase the related insurance policy.This lowers insurance costs because
A) only less reckless drivers will accept the device
B) only more reckless drivers will accept the device
C) drivers will believe they can now drive more recklessly
D) it does not affect care in driving
Progressive Insurance
An insurance company that offers policies for vehicles, property, and other personal assets, known for offering customized coverage options.
Driving Patterns
The behaviors and habits of drivers, including speed, routes taken, and times of travel, which can impact fuel consumption, traffic flow, and road safety.
- Ascertain the influence of safety precautions and monitoring activities on behavioral modification.
- Understand the role of incentives and monitoring in mitigating moral hazard.
Verified Answer
AR
Atharva Raikar3 days ago
Final Answer :
A
Explanation :
Those who are confident in their safe driving habits are more likely to accept the device, which will result in lower insurance costs for them. This ultimately promotes safe driving behavior and rewards those who already practice it.
Learning Objectives
- Ascertain the influence of safety precautions and monitoring activities on behavioral modification.
- Understand the role of incentives and monitoring in mitigating moral hazard.
Related questions
Lazy Lucy's Parents Decided That They Would Only Pay Her ...
Because Employer-Provided Health Insurance Was Too Expensive,a Major Employer Decided ...
Surgical Weight Loss Procedures Are Cheaper and Safer Than Ever ...
Progressive Insurance's 'Tripsense' Monitors Driving Patterns of the People Who ...
Moral Hazard Implies That ...