risk management instruments and strategies, traditional/conventional insurance of crops, livestock and tangible assets is … production, price and market risk, and later also the financial risk, today agricultural producers are increasingly more often … confronted with institutional risk and personnel management risk and risk related to climate change. On the other hand, farmers …

contracts causes individuals to be uncertain about insurance payouts. As a result, a trade-off between second-order (risk … aversion) and third-order (prudence) risk preferences drives insurance demand. Very prudent individuals desire more insurance …We study insurance markets with individuals that have limited financial literacy. In our model, complexity of insurance …

-impact risks or for insurance contracts exposed to nonperformance risk …Probability weighting is often used to explain insurance choices that conflict with expected utility (EU) preferences …. We derive new theoretical results on the effects of probability weighting in the context of common insurance demand …

when risk is involved, even when full information is available. A simple normative analysis of decisions about insurance …Consumers face many decisions involving risk, yet some researchers claim that consumers cannot make rational decisions … consumers to choose insurance policies with higher deductibles. Possible computer expert systems to help consumers make …

individuals. Then, a trade-off between second-order (risk aversion) and third-order (prudence) risk preferences drives insurance …This paper studies insurance demand for individuals with limited financial literacy. We propose uncertainty about … insurance payouts, resulting from contract complexity, as a novel channel that affects decision-making of financially illiterate …

We use data on households' deductible choices in auto and home insurance to estimate a structural model of risky choice … that incorporates "standard" risk aversion (concave utility over final wealth), loss aversion, and nonlinear probability …. More specifically, we find that standard risk aversion is small, loss aversion is nonexistent, and nonlinear probability …

We use data on insurance deductible choices to estimate a structural model of risky choice that incorporates "standard …" risk aversion (diminishing marginal utility for wealth) and probability distortions. We find that probability distortions … important role in explaining the aversion to risk manifested in deductible choices. This finding is robust to allowing for …

We use data on insurance deductible choices to estimate a structural model of risky choice that incorporates 'standard …' risk aversion (diminishing marginal utility for wealth) and probability distortions. We find that probability distortions … important role in explaining the aversion to risk manifested in deductible choices. This finding is robust to allowing for …

and on the literature of imperfectly divisible consumption to argue that the general purpose of insurance is not a risk … transfer, but meeting a conditional need. In this way, insurance aligns the risk in one's ftnancial endowment with the risk in …I revisit the question of which motive underlies insurance demand. I draw on the literature of state-dependent utility …