An Insurance Company Evaluates Many Numerical Variables About a Person

question 202

Short Answer

An insurance company evaluates many numerical variables about a person before deciding on an appropriate rate for automobile insurance.The number of tickets a person has received in the last 3 years is an example of a numerical variable.

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Definitions:

Lean Production

A manufacturing methodology that focuses on minimizing waste within manufacturing systems while simultaneously maximizing productivity.

Sort/Segregate

The process of separating items into different categories based on specific criteria to improve efficiency, organization, or processing.

Seven Wastes

Overproduction; queues; transportation; inventory; motion; overprocessing; defective product.

Overproduction

The manufacturing or production of goods in excess of demand, leading to inefficiencies and potential waste of resources.