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Loss Coverage

Loss Coverage

Why Insurance Works Better with Some Adverse Selection

Guy Thomas

Cambridge University Press
Publication date : 2017-05-02

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Most academic and policy commentary represents adverse selection as a severe problem in insurance, which should always be deprecated, avoided or minimised. This book gives a contrary view. It details the exaggeration of adverse selection in insurers' rhetoric and insurance economics, and presents evidence that in many insurance markets, adverse selection is weaker than most commentators suggest. A novel arithmetical argument shows that from a public policy perspective, 'weak' adverse selection can be a good thing. This is because a degree of adverse selection is needed to maximise 'loss coverage', the expected fraction of the population's losses which is compensated by insurance. This book will be valuable for those interested in public policy arguments about insurance and discrimination: academics (in economics, law and social policy), policymakers, actuaries, underwriters, disability activists, geneticists and other medical professionals.

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About the book

Author

Guy Thomas

Imprint

Cambridge University Press

Collection

n.c

Publication date

2017-05-02

Pages

n.c

Print ISBN

9781107100336

Language

English

Ebook informations

EAN PDF

9781108158824

Price

£29.54

Copy count 0

Print count 0

File size 2150 Ko

Informations accessibility

EAN EPUB

9781108157988

Price

£29.54

Copy count 0

Print count 0

File size 4198 Ko

Informations accessibility

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About author(s)

Guy Thomas

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