The case for risk-based premiums in public health insurance
Research output: Journal contributions › Journal articles › Research › peer-review
Authors
Uniform, risk-independent insurance premiums are accepted as part of 'managed competition' in health care. However, they are not compatible with optimality of health insurance contracts in the presence of both ex ante and ex post moral hazard. They have adverse effects on insurer behaviour even if risk adjustment is taken into account. Risk-based premiums combined with means-tested, tax-financed transfers are advocated as an alternative.
| Original language | English |
|---|---|
| Journal | Health economics, policy, and law |
| Volume | 1 |
| Issue number | Pt 2 |
| Pages (from-to) | 171-188 |
| Number of pages | 18 |
| DOIs | |
| Publication status | Published - 01.04.2006 |
| Externally published | Yes |
- Health sciences - Economic Competition, Insurance Selection Bias, Insurance, Health, Public Sector, Risk Adjustment, Taxes