As is true of automobile insurance, a strong case can be made for a mandate that requires individuals to purchase health insurance rather than shifting costs to others. A mandate by itself, however, is likely to be regressive. By dealing with individual needs through the back door, an employer mandate generally keeps costs hidden and raises employment problems, while an employer subsidy will be...

current research examines the impact of perceived justice (including distributive justice, procedural justice and interactional justice) on perceived service quality and customer behavioral intentions (including word of mouth, trust and revisit intention).statistical sample comprises 120 customers of iran insurance company in shiraz holding automobile insurance and have record of visiting the c...

Light or heavy trucks and sport-utility vehicles (SUVs) are increasingly popular, in part because they provide improved protection to their own passengers in an accident. However, when an accident occurs, these vehicles also cause greater injury to passengers of other vehicles, pedestrians, bicyclists, and motorcyclists. Because the costs of these injuries are external costs in no-fault auto-li...

Private passenger automobile insurance companies employ a range of strategies and tactics to achieve their growth and profitability objectives. Gains and losses in market share among insurers suggest a fair degree of rivalrous behavior; however, previous econometric analyses have not adequately addressed the sources of firm-level advantages. Although prior studies have tested hypotheses about d...

We recently conducted a research project for a large North American automobile insurer. This study was the most exhaustive ever undertaken by this particular insurer and lasted over an entire year. We analyzed the discriminating power of each variable used for ratemaking. We analyzed the performance of several models within five broad categories: linear regressions, generalized linear models, d...

Some property and casualty insurers use automated detection systems to help to decide whether or not to investigate claims suspected of fraud. Claim screening systems benefit from the coded experience of previously investigated claims. The embedded detection models typically consist of scoring devices relating fraud indicators to some measure of suspicion of fraud. In practice these scoring mod...

Preface – By Todd Litman This is a seminal article concerning traffic accident cost analysis and vehicle insurance pricing reform by Professor William Vickrey, winner of the 1996 Nobel Prize for economics. It describes how to determine the marginal accident costs of vehicle travel, identifies several problems associated with current insurance pricing and compensation practices, and proposes inn...