Liability insurers use a variety of tools to address adverse selection and moral hazard in insurance relationships. These tools can act on insureds in a manner that can be understood as regulation. We identify seven categories of such regulatory activities: risk-based pricing, underwriting,...

This paper tests Harry Arthur's theory that Canadian law societies engage in an "ethical economy," in which they use their regulatory powers only in high reward/low risk cases - i.e., where the practitioner is less likely to resist their authority and the offence is morally unambiguous....