A STUDY ON ADVANTAGEOUS SELECTION IN CAR COLLISION INSURANCE AND ITS IMPACT ON RATE-MAKING IN IRANIAN INSURANCE INDUSTRY

Q: How can I download an article?

To download an article from SID, first log in to the site, search for the article title, and click on the 'Download Article' option.

Q: How can I download an ISI article?

To download an ISI article on SID, enter the keyword or article title in the search bar, view the relevant results, click on the desired article, and select the 'Download Article' option.

Q: How can I access the SID database?

To access the SID database, visit SID.ir, create an account, and log in to access scientific resources.

Q: Is downloading articles from SID free?

Some articles on SID are available for free, while others require payment. Details are specified on the article's page.

MAHDAVI GHADIR; RAJAEI MALIHE

مرکز اطلاعات علمی Scientific Information Database (SID) - Trusted Source for Research and Academic Resources

Journal Paper

Paper Information

Journal: Journal of Economic Research Year:2012 | Volume:47 | Issue:3 Page(s): 165-184

Download Full-Text

Persian Verion

View:

1,078

Download:

Cites:

Information Journal Paper

Title

A STUDY ON ADVANTAGEOUS SELECTION IN CAR COLLISION INSURANCE AND ITS IMPACT ON RATE-MAKING IN IRANIAN INSURANCE INDUSTRY

Author(s)

MAHDAVI GHADIR | RAJAEI MALIHE | Issue Writer Certificate

Keywords

ASYMMETRIC INFORMATIONQ2

ADVERSE SELECTIONQ3

ADVANTAGEOUS SELECTIONQ2

UNCERTAINTYQ2

CAR COLLISION INSURANCEQ2

Abstract

The conventional theory of ADVERSE SELECTION is not supported by most of the empirical works. These studies conclude that low-risk individuals demand more insurance services than high-risks. They refer to this situation as ADVANTAGEOUS SELECTION theory. This theory states that loss ratio of insureds may be lower than the population loss ratio while the conventional theory of ADVERSE SELECTION claims the reverse. under the assumptions of theory of ADVANTAGEOUS SELECTION, insurers end up with relatively low-risk individuals and the selection effect will be propitious to insurers as more risk-averse low-risk individuals are not only willing to pay more for precautionary efforts but also are more inclined to insure.This paper examines the presence of ADVANTAGEOUS SELECTION in the Iranian CAR COLLISION INSURANCE market and concludes that there exists considerable ADVANTAGEOUS SELECTION behavior in this market.

Cites

No record.

References

Cite

APA: Copy

MAHDAVI, GHADIR, & RAJAEI, MALIHE. (2012). A STUDY ON ADVANTAGEOUS SELECTION IN CAR COLLISION INSURANCE AND ITS IMPACT ON RATE-MAKING IN IRANIAN INSURANCE INDUSTRY. TAHGHIGHAT-E-EGHTESADI, 47(3), 165-184. SID. https://sid.ir/paper/11990/en

Vancouver: Copy

MAHDAVI GHADIR, RAJAEI MALIHE. A STUDY ON ADVANTAGEOUS SELECTION IN CAR COLLISION INSURANCE AND ITS IMPACT ON RATE-MAKING IN IRANIAN INSURANCE INDUSTRY. TAHGHIGHAT-E-EGHTESADI[Internet]. 2012;47(3):165-184. Available from: https://sid.ir/paper/11990/en

IEEE: Copy

GHADIR MAHDAVI, and MALIHE RAJAEI, “A STUDY ON ADVANTAGEOUS SELECTION IN CAR COLLISION INSURANCE AND ITS IMPACT ON RATE-MAKING IN IRANIAN INSURANCE INDUSTRY,” TAHGHIGHAT-E-EGHTESADI, vol. 47, no. 3, pp. 165–184, 2012, [Online]. Available: https://sid.ir/paper/11990/en

Related Journal Papers