全球智库信息集成服务系统(G2TT): Does Private Information Influence Automobile Insurance Purchase Decisions?

G2TT

来源类型	Working Paper
规范类型	报告
DOI	10.3386/w20679
来源ID	Working Paper 20679
	Does Private Information Influence Automobile Insurance Purchase Decisions?
	Frank A. Sloan; Patricia A. Robinson; Lindsey M. Eldred
发表日期	2014-11-17
出版年	2014
语种	英语
摘要	This study quantifies the importance of private information, separates the extent to which the positive correlation between the accident probability and insurance coverage reflects adverse selection and moral hazard, and analyzes market segmentation on objective accident risk. We use data we collected to examine the importance of potential sources of private information in individualsʼ third- and first-party insurance choices. Individuals with higher subjective accident probabilities have less liability exposure post insurance purchase and more often experience an accident, conditional on factors insurers use for risk classification. This evidence is consistent with the positive correlation between accident occurrence and liability insurance coverage. We find that the positive correlation almost completely reflects adverse selection. In analysis of insurer sorting, we find that accident-free drivers obtain coverage from insurers with higher independent agency quality ratings. High-quality insurers eschew low-quality drivers on measured dimensions because these drivers are more likely to possess private information about their driving ability and proclivities that affect expected loss. Drivers with a higher risk on factors observable to insurers tend to have private information about their accident risk. This sorting process reflects an institutional response to asymmetric information, and assures a continuous supply of private insurance to unsafe drivers.
主题	Microeconomics ; Economics of Information ; Health, Education, and Welfare ; Health ; Regional and Urban Economics
URL	https://www.nber.org/papers/w20679
来源智库	National Bureau of Economic Research (United States)
引用统计
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/578353
推荐引用方式 GB/T 7714	Frank A. Sloan,Patricia A. Robinson,Lindsey M. Eldred. Does Private Information Influence Automobile Insurance Purchase Decisions?. 2014.