This paper characterizes optimal insurance policies under deterministic auditing, in a situation where the policyholders can misrepresent their losses.

This paper analyses the role of non-pecuniary private benefits going to employees in an incomplete contract approach to the regulation of utilities.

We provide a characterization of an optimal insurance contract (coverage schedule and audit policy) when the monitoring procedure is random. When the policyholder exhibits constant absolute risk aversion, the optimal contract involves a positive indemnity payment with a deductible when the...