Thinking of creating an insurance program for runescape services?

[NoahTheWeebWolf]

I like the idea, however:

 

-You have to measure what the monthly fee should be

 

Let's say I run a service with alot of orders, I have to pass them onto you as in regarding how much I get for them etc

But what if I get stabbed in the back for thousands of $$, who is there to refund it? Me? You?

It seems like a big risk, easy to go bankrupt or not.

 

The monthly fee depends on so many different factors and is then agreed upon between the customer(service owner and the insurance provider).

There can't a be a one size fits all policy.

Usually, the biggest scams happen on power level orders(because supplies, potential to bot on hand orders, etc.).

Quest orders are lower risk because there's hardly ever the need for expensive supplies(no risk of botting).

Mini games are somewhat in the same risk as quest.

That said a power level service will pay higher premiums inherently because of their higher risk, followed by mini games and questing, which will pay less. At the end of the day it's up to the customer how much coverage they want(but no matter, how much is covered the powerlevel/AIO services will always have somewhat higher premiums to cover the higher risk).

Another factor to consider is the number of worker's id be covering(more workers will mean somewhat higher premiums).

Older higher feedback workers will warrant a lower price because the lesser risk.

There'd also be stipulations on which situation's id be willing to cover and how much (For example, example if the service owner scams I am not going to make up for their mistakes).

There's a lot of math involved like actual insurance, but if I get the green light to run such a service, I will come up with a questionaire that determines risk factors and then discuss the needs of the service and from there I can work on coming to an agreement with the customer on what their initial fee will be+monthly fees.

Does this make more sense now?

[Vag]

This counts in the same gategory as "Loaning Money - Pay Back 5% extra -> asking to be scammed.

For this to work would need to be something like this: Only cover the fees when scammer has 50+ feedback etc. Otherways this wont work. People commit insurance fraud in real world every minute so why do you except this to work in a internet community :P

[Khaleesi]

Insurance companys are all bullshiet ... They are happy to receive, but once htey have to pay they will come up with some crappy reason not to...

 

Good idea though ;)

[NoahTheWeebWolf]

This counts in the same gategory as "Loaning Money - Pay Back 5% extra -> asking to be scammed.

For this to work would need to be something like this: Only cover the fees when scammer has 50+ feedback etc. Otherways this wont work. People commit insurance fraud in real world every minute so why do you except this to work in a internet community

That remains to be determined by staff.

I fail to see how it'd only work in the situation. Insurance is insurance; Its sole purpose is to cover damages when mistakes are made in a way that would cost less than would be without insurance.

Right and there are ways insurance fraud could be determined and even if someone succeeded there's such a small chance it'd   be enough to put a dent into my funds(because while the loss is incurred id be making so much more from other members who invest in the insurance policy hence why insurance in real life works and is so profitable assuming you have enough customers).

Insurance companys are all bullshiet ... They are happy to receive, but once htey have to pay they will come up with some crappy reason not to...

 

Good idea though

Not me though, like i said in earlier post I had two workers scam for around 35m each and let me tell you it sucked so hard to repay but I did it with no complaints.

 

Same logic would apply here only id hardly ever lose my own current funds(my current rs07 bank being 120m in value).

 

The money lost would be that of other insurance investors which I would use to pay for damages a service is covered for.

 

combine this with the monthly fees I get and assuming a consistent customer base exist Id constantly be making money and lose very little along the way.

[Vault of Glass]

Like the idea would take a lot of planning.

[fratricidal]

There will be a lot of people trying to find ways to perform insurance fraud.

[NoahTheWeebWolf]

There will be a lot of people trying to find ways to perform insurance fraud.

You do realize there's nothing stopping people as it is from already trying fraud in order to get all the worker's deposit fees right?

It's very simple really.

Person 1 becomes a worker with the intent of faking a scam with person 2 who is a friend/partner  posing as a customer.

Person 2 files a dispute with compelling evidence of a scam that not only gets back the 5m entry fee that person 1 had to pay but also as much as they were "scammed" for.

One of the nice things about  having insurance will mean fewer chances of failing to pay scam victims and then scam quitting under pressure because insurance will cover the damages.

[NoahTheWeebWolf]

Locking because this thread is just about 2 weeks old since last reply.

I got all the information I need now I am going to just go ahead and ask Mald his thoughts.