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# Premiums for automobile accident insurance are often higher

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VP
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11 Apr 2005, 21:56
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Premiums for automobile accident insurance are often higher for red cars than for cars of other colors. To justify these higher charges, insurance companies claim that, overall, a greater percentage of red cars are involved in accidents than are cars of any other color. If this claim is true, then lives could undoubtedly be saved by banning red cars from the roads altogether.

The reasoning in the argument is flawed because the argument

(A) accepts without question that insurance companies have the right to
charge higher premiums for higher-risk clients

(B) fails to consider whether red cars cost the same to repair as cars of other colors

(C) ignores the possibility that drivers who drive recklessly have a preference for red cars

(D) does not specify precisely what percentage of red cars are involved in accidents

(E) makes an unsupported assumption that every automobile accident results in some loss of life

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VP
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11 Apr 2005, 22:35
(C) the passage is blaming red cars, not the drives, for all accidents.

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GMAT Club Legend
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11 Apr 2005, 23:35
(E) makes an unsupported assumption that every automobile accident results in some loss of life
- This is the answer choice. The author says 'lives can be saved by banning red cars'. This is effect means every automobile accident will result in a loss of life.

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Intern
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12 Apr 2005, 02:05
ywilfred wrote:
(E) makes an unsupported assumption that every automobile accident results in some loss of life
- This is the answer choice. The author says 'lives can be saved by banning red cars'. This is effect means every automobile accident will result in a loss of life.

The fact that we can save lives by stopping X does not mean that every occurrence of X leads to a loss of life.

The accident here may be caused by reckless drivers with a preference for red cars. I should know 'cos I'm one of them

Go for C

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SVP
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12 Apr 2005, 06:10
MA wrote:
(C) the passage is blaming red cars, not the drives, for all accidents.

MA said it just right. (C) is the answer. If the red cars are banned tghe reckless drivers will drive cars of some other color.

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Director
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12 Apr 2005, 09:49
I will go with 'E'
In't it true that if E isn't assumed there will not be an argument.

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Director
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12 Apr 2005, 09:58
I pick E because there if 90 percent of accidents are fender-benders, then whatâ€™s the point of banning red cars. Also nothing tells us that lives were lost in all accidents involving red cars

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12 Apr 2005, 10:09
C for me.
E is wrong because the stem says "then lives could undoubtedly be saved"
this means that some lives could be saved, not all.

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VP
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12 Apr 2005, 10:55
shud be "C"....even with a ban on red cars, reclkess drivers cud still buy other cars and cause accident. "E" is close call too, but I think stem's last sentence doesn't use categorical statement that no lives will be lost if red cars are banned.

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Intern
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12 Apr 2005, 11:01
C for me.
The argument doesn't make an assumption that 'every' accident results in some loss of life. It maybe making an assumption that some accidents result in loss of life.

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Director
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12 Apr 2005, 11:04
what is the OA for this question?
Sometimes we lose track and never get an OA.

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Senior Manager
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12 Apr 2005, 11:12
you're right Folaa3, but this question was posted today, and chunjuwu always provide the OA.

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12 Apr 2005, 11:12
E is my pick . Conclusion says then lives could undoubtedly be saved by banning red cars from the roads altogether. whereas in the supporting arguments author doesn't mention that accidents cause loss of life.

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Senior Manager
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13 Apr 2005, 11:53
initally picked E, now see why C is a better answer.

for example, if we lose 1 life in every 10,000 accidents, banning red cars still will "undoubtly save lifes", even just by 1.

tricky one got me.

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Senior Manager
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13 Apr 2005, 19:00
ywilfred wrote:
(E) makes an unsupported assumption that every automobile accident results in some loss of life
- This is the answer choice. The author says 'lives can be saved by banning red cars'. This is effect means every automobile accident will result in a loss of life.

I picked E for the same above reason.

Though the question seems to be ....the one which can be argued upon.

Saurabh Malpani

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Manager
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14 Apr 2005, 00:21
C cannot be the answer because if drives driving wrecklessly have a preference for red cars then after removing red cars tehy will drive the same way the car of any color.

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Manager
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14 Apr 2005, 00:29
hi,
in the above passage our conclusion is tht red cars removed from the road will save life and premise is that there are higher premiums for red cars.Now the reasoning given is because there are more accidents that is why there are higher premiums.The question says what is the flaw in the reasoning and only the last choice weakens the reasoning where as C supports it.
would surely like to discuss?comments are invited

regards

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GMAT Club Legend
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14 Apr 2005, 01:36
I still stick with choice E. The conclusion is 'removing red cars from the road saves life". This is based on an illogical assumption that anyone hit by a red hit will not survive.

Chunjuwu, do you have the OA for this question ?

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VP
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14 Apr 2005, 06:36

sorry for late

OA is C. surprise?

Thanks

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14 Apr 2005, 06:36
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