Final answer:
Noelle may believe Eugene's auto premiums are high due to being part of a high-risk group, as young men typically pay more for car insurance. This assumption might be guided by statistical risks associated with young male drivers and any personal knowledge of being a high-risk driver.
Step-by-step explanation:
Noelle might assume that Eugene's auto premiums are high because they reflect his risk group as determined by insurers. Factors such as age, gender, and driving history are taken into consideration when assessing premiums. In the case of car insurance, young male drivers are statistically more likely to be involved in car accidents than young female drivers. Consequently, insurance companies might categorize young male drivers as higher risk and charge them more for their insurance premiums. Additionally, if Eugene has not had a major accident yet but knows himself to be a riskier driver, this personal knowledge could explain his higher premiums if the insurance company has somehow ascertained this information.