Using big data to discriminate charged price in the Car Insurance Industry: Evidence from United States
Abstract
The purpose of this paper is to examine the gender-based discrimination in car insurance rates and whether the reasons provided by the car insurance companies for the different rates are valid or not. The paper studies the average annual premiums paid by men and women across different age groups from 16 years old to over 56 years old along with the percentage differences. Additionally, the concept of big data and how it is utilized by businesses to apply personalize price discrimination is investigated. The research design is conclusive and secondary data is used in both qualitative and quantitative forms. Qualitative data is collected from articles for the literature review and as for the quantitative data it is in the form of reports and surveys. The data shows that at lower age groups women pay less than men for car insurance but as the age increase men start paying less. The paper reaches a conclusion that gender is not necessarily a crucial risk-factor as the regular factors such as driving record can provided accurate risk determinants.
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Author Biography
Doaa Salman, Ph D, is a professor of Economics at October University for Managements and Arts (MSA), Egypt. She is the head of economics department and the Vice dean for community services and environmental affairs at Egypt. Her main research interest is in international trade and development. And she has several publication in this field. Further, she is expert in entrepreneurial empowerment and sustainable environmental policies. Her research appears in journals Such As: future business journal, European Journal of Economics, Finance, Journal of International Business & Finance and International Journal of Green Economics .She has a wide variety of teaching and professional experiences.  Dr. Doaa as a certified trainer she participated in Education Development Program for Egyptian universities (EDU Egypt)  for three consecutive years. She is also a fellow in British of higher education. She is a member in the FEMISE women Euro Med institutes. She has also been the editor of volumes in well-known publishers such as Elsevier, Emerald
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