If you actually have a tracking system like this (a lot of insurance companies will offer it), you'll find the bar for unsafe driving is ridiculously low.
The truth is insurance agencies always want to find a reason to increase your premiums, because the law says you can't just increase the premiums for no reason. Most premiums are lower than what it "needs" to be, so if they find an excuse, they will jack up the premiums.
> The truth is insurance agencies always want to find a reason to increase your premiums, because the law says you can't just increase the premiums for no reason.
How does this work? Are you saying all the insurance companies share data and collude to set your rate? Or they just hope you don't price shop every year or two and jump to an offering that is under the legal limit (whatever that is)? My state has over 50 auto insurance companies, so I don't see why they would have to resort to tricks like that to increase your rate in an unfair way.
Yes, models have to be shared with regulators and the regulators have to be convinced that the premiums insurers wish to charge are actuarially justified (supported by the data).
The truth is insurance agencies always want to find a reason to increase your premiums, because the law says you can't just increase the premiums for no reason. Most premiums are lower than what it "needs" to be, so if they find an excuse, they will jack up the premiums.