Before going further, let's remember that discrimination can have more than one meaning. Not applicable, 3. treatment or consideration of, or making a distinction in favor of or against, a person or thing based on the group class or category to which that person or thing belongs rather than on individual merit. The confusion over the desirability or legality of discrimination arises out of unfair discrimination.
Unfair discrimination stems from the latter definition mentioned earlier.
A choice that is based on a group, class or category. Choices that revolve around a distinction that is irrelevant to offering insurance coverage is unfair discrimination. Fair Discrimination Insurers are constantly involved in discriminating because they are always studying persons and situations to see if they are in a position to offer insurance coverage. The distinctions made among their insurance applicants are important. Insurers design their insurance programs based on assumptions on the type of persons, property and situations they wish to cover.