Is the market classification of risk always efficient? evidence from German third party motor insurance

Research output: Working paperWorking papers

Authors

This paper studies the empirical effects of risk classification in the mandatory thirdparty motor insurance of Germany following the European Union’s directive to deregulate insurance tariffs of 1994. We find evidence that inefficient risk categories had been selected while potentially efficient information was dismissed. Risk classification did generally not improve the efficiency of contracting or the composition of insureds in this market. These findings are partly explained by the continuing existence of institutional restraints in this market such as compulsory fixed coverage and unitary owner insurance.
Original languageEnglish
Place of PublicationLüneburg
PublisherInstitut für Volkswirtschaftslehre der Universität Lüneburg
Number of pages29
Publication statusPublished - 01.03.2005

    Research areas

  • Economics - Automobile Insurance, Risk Classification, Market Efficiency

Documents

Recently viewed

Publications

  1. Multiple
  2. Modeling and simulation of the heterogenous material behavior in thermal-sprayed coatings
  3. An optimal minimum phase approximating PD regulator for robust control of a throttle plate
  4. Forest structure and heterogeneity increase diversity and alter composition of host–parasitoid networks
  5. Das Konzept "Dialog" in der Werbung
  6. Applying FIDIC contracts in Jordan
  7. Distal and proximal predictors of snacking at work
  8. Model Predictive Control for Energy Optimization in Generators/Motors as Well as Converters and Inverters for Futuristic Integrated Power Networks
  9. Organizational practices for the aging workforce
  10. The effect of complacency potential on human operators’ monitoring behavior in aviation
  11. Responsible Research is also concerned with generalizability
  12. What do we know about new venture investment time patterns?
  13. Time and Income Poverty – An Interdependent Multidimensional Poverty Approach with German Time Use Diary Data
  14. Tier
  15. Learning processes for interpersonal competence development in project-based sustainability courses – insights from a comparative international study
  16. Red List of marine macroalgae of the Wadden Sea
  17. How Do AI Educators Use Open Educational Resources? A Cross-Sectoral Case Study on OER for AI Education
  18. Tree diversity effects on litter decomposition are mediated by litterfall and microbial processes
  19. Deformation and Anchoring of AA 2024-T3 rivets within thin printed circuit boards
  20. Resource use and competition between honey bees and wild bees in the Lüneburger Heath
  21. You Are What You Eat (from)?
  22. Notting Hill Gate 4 Basic
  23. Creating a trusting environment in the sharing economy
  24. Characterization of the Basic Types of Lunar Highland Breccias by Quantitative Textural Analysis
  25. Ästhetische Operationen