This dissertation includes two essays on adverse selection and moral hazard problems in reinsurance markets. The first essay builds a competitive principal-agent model that considers adverse selection and moral hazard jointly, and characterizes graphically various forms of separating Nash...

Purpose – The purpose of this paper is to test for the existence of residual moral hazard in the three largest US reinsurance markets over the period 1995-2000 and examine the effectiveness of retention limit, experience rating and long-term contracting relationship in controlling for moral...

Empirical studies on asymmetric information have mainly focused on primary insurance markets, but comparatively little attention has been given to reinsurance markets. This study investigates the existence of asymmetric information by testing for a positive correlation between coverage and ex...