Why don’t people in developing countries insure themselves? I propose that some households are ambiguity averse, and that these households fear any insurance contract they purchase will payout when it is not needed and will not payout when it is. I study two applications of this observation. I first study formal crop insurance, in particular index insurance and the insurance element of limited ...

Currently, much of the discussion centers on possibilities for insurance mandates, a public insurance plan modeled after Medicare, and the methods that will be used to control costs.1 Many other issues will have to be addressed, including physician payment reform, the future of Medicare Advantage, providers’ participation in public programs, the role of expansions of Medicaid, and of course, th...

The purpose of this chapter is to compare negligence rules and strict liability rules and to examine the allocative effects resulting from the application of different liability regimes. It first discusses unilateral accidents, while the more complicated bilateral cases follow afterwards. Each section starts with a discussion of the rule of no liability before moving on to various forms of negl...

The Patient Protection and Affordable Care Act (ACA) will greatly expand private coverage and Medicaid while making major changes to payment rates and the health care delivery system. These changes will affect traditional health insurers, individuals, and government payers. In addition, a considerable amount of health care is paid for directly by or is indirectly paid for via legal settlements ...

Abstract This paper aims to assess the adequacy of obligatory tax advisors’ insurance meet their needs in Poland and Czechia using comparative-legal method. It is crucial, due need protect weaker party a transaction provide certainty trading. The comparison made between legislation concerning compulsory liability for advisors general contracts negotiated by professional self-governing bodies. P...

We study the expected liability cost of cross‐listing into the United States by examining the change in the structure of a Canadian firm’s directors’ and officers’ liability insurance contract (D&O insurance) before and after cross‐listing. All else being equal, we show that neither the likelihood of having insurance nor the D&O liability insurance coverage change following cross‐list...

We use mean-variance hedging in discrete time in order to value an insurance liability. The prediction of the insurance liability is decomposed into claims development results, that is, yearly deteriorations in its conditional expected values until the liability is finally settled. We assume the existence of a tradeable derivative with binary pay-off written on the claims development result and...

This paper provides a complete program for the valuation of aggregate non-life insurance liability cash flows based on claims triangle data. The valuation is fully consistent with the principle of valuation by considering the costs associated with a transfer of the liability to a so-called reference undertaking subject to capital requirements throughout the runoff of the liability cash flow. Th...

As a result of rapidly rising medical malpractice insurance premiums, reduced availability of coverage, and financially distressed liability insurers, many states have passed tort reforms. This synthesis examines the medical malpractice ""crisis"" and the effect of state tort reforms. Evidence shows that caps on non-economic damages reduce the average size of malpractice awards by 20 to 30 perc...

rent state of the medical liability insurance system may consider themselves fortunate to call Wisconsin home. Wisconsin is one of only six states deemed stable by the American Medical Association (AMA) in terms of the burden that the cost of malpractice insurance is placing on clinicians. Nineteen states have reached crisis status, according to the AMA, while the remaining 25 are beginning to ...