Methodology, version 1
Each scale describes an ideal insurer and scores the shortfall from it. Inputs are public rate filings, policy forms and the NAIC complaint database. Scores are recomputed on every build; no score is typed in by hand. Coverage is scored separately and is not part of the total.
| Scale | Weight | Formula |
|---|---|---|
| A. Lifetime cost | 25% | Lifetime premium over 15 policy years for the reference profile, from the filed rate pages, at today's rates. Score = 10 × cheapest brand in the state ÷ this brand. |
| B. Age curve | 20% | Score = 10 ÷ (monthly price at age 12 ÷ monthly price at age 2), including tenure factors; +1 if the age table stops growing (age cap). |
| C. Generosity (loss ratio) | 15% | Score = 10 × the latest loss ratio the insurer reported for the state ÷ 90%, capped at 10. The ratio is the actual (historical) one where the memorandum gives it, otherwise the insurer's own projected ratio at current rates; the filings table says which. Human health insurance is required by law to pay out 80–85% of premium; 90% is the ideal here. |
| D. Rate increases | 20% | Score = 10 − (last approved increase in % − 7) ÷ 2.8; −1 if the indicated need exceeded the approved increase by more than 5 points; −1 if more than 30% of customers received +30% or more; +1 after two years without an approved increase. |
| E. Price structure | 10% | Score = 10 minus penalties: tenure surcharge −3, discount only for customers without claims −2, website quote behind the filed rate −2, monthly payment fee above $2 −1, no multi-pet discount −1, quote valid less than a week −1. |
| F. Customer treatment | 10% | Score = 10 − NAIC complaint index × 2; −5 for mass non-renewals; −2 for a regulator penalty in the last five years. |
Reference profile
French Bulldog, male, enrolled before age 1, unlimited annual limit (or the highest available), $1,000 deductible, 90% reimbursement, monthly payment with its fee, no discounts, ZIP per state (Florida 33545). The total is a weighted average over the scales that have data; a scale without data is shown as “no data” and excluded.
Coverage scale
Unlimited limit available 3, exam fees in base 1, dental illness in base 1, prescription food 0.5 (0.25 if limited), curable conditions can return to coverage 1, illness waiting period of 14 days or less that can be waived 1, hereditary conditions in base 1, direct vet pay 1, no upper enrollment age 0.5.
Changes to the methodology
- Version 1 (13 Oct 2026): first published.