Home equity insurance policies, policies insuring homeowners against declines in the price of their homes, would bear … some resemblance both to ordinary insurance and to financial hedging vehicles. A menu of choices for the design of such … insurance company in effect serves as a retailer to homeowners of short positions in real estate futures markets or of put …

Demand for insurance can be driven by high risk aversion or high risk. We show how to separately identify risk … preferences and risk types using only choices from menus of insurance plans. Our revealed preference approach does not rely on … in insurance plans, offered separately to random cross-sections or offered as part of the same menu to one cross …

State guaranty funds are quasi-governmental agencies that provide insurance to policyholders against the risk of … insurance company failure. But insurance provided by guaranty funds, like all insurance, creates moral hazard problems … insurance companies to borrow money (i.e., from policyholders). Moreover, the existence of guaranty fund insurance enables …

Natural catastrophes often have catastrophic risks on insurance companies as well as on the insured. Using a very large … dataset on homeowners%u2019 insurance coverage by state, by firm, and by year for the 1984 to 2004 period, this paper … term %u201Cblockbuster catastrophes.%u201D Insurers adapt to these catastrophic risks by raising insurance rates, leading …

insurance markets, but are rarely incorporated in government assurance programs. We analyze accidental underground fuel tank …-level government assurance program and switching to private insurance markets to finance cleanups reduced the frequency of costly …

distributed through the insurance and reinsurance systems. However, because insurance companies tend to share relatively small … amounts of their cat exposures and because insurance companies' capital is threatened by large event, these risks are now …

for the development of public-private partnerships, as recognized in November 2002 when the Terrorism Risk Insurance Act … of 2002 (TRIA) was passed. This paper shows, however, that the temporary insurance system established by TRIA is neither … current level of demand for insurance coverage has remained low and we discuss some factors that may contribute to it. After …