Unfair discrimination is used in the insurance industry and it refers to insurers basing their policy terms on irrelevant information. Some unfair discrimination subjects are religion, gender and race.Know More
Discrimination occurs in the insurance industry all the time. The word "discrimination" has a negative overtone but, in the world of insurance, it simply refers to a routine decision-making process. Insurers discriminate in order to evaluate risks and calculate probable loss on the person or thing they are insuring. For example, they discriminate in order to decide which types of drivers they will offer insurance to, and how much to charge them in premiums.
However, there are two types of discrimination: fair and unfair. In the case of car insurance, an insurer practicing fair discrimination would take into account the driver's record of driving violations and what type of car the driver owns. All of this information is relevant to the insurer's decision making process.
Insurers cross the line into unfair discrimination when they consider irrelevant information. For example, the driver's race, sexual orientation and religion should have no bearing on how much the driver should pay for car insurance, or on whether the insurance company decides to offer them insurance at all. This type of discrimination is illegal and generally considered a violation of the state's insurance codes.Learn more in Social Sciences
Indirect discrimination is a discrete type of discrimination that involves a policy, rule or procedure that is applied to everyone in a certain area but, ultimately, puts some individuals or groups at a disadvantage. Just like direct discrimination, indirect discrimination can affect people of a certain religion, race, ethnic group or age. Indirect discrimination can be posed as a formal or informal rule, practice or policy that may control behavior or set standards in the workplace.Full Answer >
Individual discrimination refers to the discrimination against one person by another. It is a personal act of discrimination caused by certain negative attitudes toward another person. It can occur because of ethnic or racial differences between the affected individuals.Full Answer >
Cultural discrimination refers to exclusion, restriction or hate that is directed at a person or a group on the basis of perceived or real differences in cultural values and beliefs. UNESCO indicates that discrimination can be direct or indirect and often leads to harassment or denial of basic rights. Religious hate, tribalism and racism are the most common forms of cultural discrimination.Full Answer >
Discrimination affects members of a society in many different ways, most of them negatively. For people who are being discriminated against, their quality of life and most likely their self-esteem suffer greatly. People who discriminate against others run the risk of having legal proceedings brought against them.Full Answer >