Which of the following justifies insurers charging females lower premium rates than males?

Insurers charging females lower premium rates than males is primarily justified by the fact that women tend to have a longer life expectancy than men. This demographic trend is supported by numerous studies and statistics indicating that, on average, women live longer lives due to various factors, including biological, behavioral, and social influences. As a result, insurance companies assess that insuring women carries a lower risk, as they are statistically more likely to pay premiums over a longer period before benefits are claimed. This longevity translates to insurance companies anticipating fewer payouts for female policyholders, allowing them to offer lower premiums.

While other factors listed may play a role in insurance pricing, they do not provide a foundational basis for why premiums would differ significantly between genders with respect to life insurance. For example, while the nature of occupations (such as hazardous jobs) may influence risks, it doesn't solely account for the overall life expectancy statistics that underpin premium calculations. Additionally, policy lapse rates and purchasing behaviors are more reflective of customer tendencies rather than biological risk factors. Thus, the difference in life expectancy remains the most compelling reason for the variance in premium rates between genders.