defined insurance and non-insurance markets based on the initial loss size, we develop theory to show that insurers with buyer … our theory and find support. Monopolistic insurer-subjects in non-insurance markets increase loss sizes to establish …

premiums offered by the rest of the insurance market. The optimal premium is determined using stochastic optimal control theory … relative premium is found to increase with the insurer's risk aversion which leads to reduced market exposure and lower overall …

A large empirical literature found that the correlation between insurance purchase and ex post realization of risk is …-dimensional heterogeneity in their risk types. It is suggested that selection based on multidimensional private information, e.g., risk and risk … based on multidimensional private information in risk and risk preferences, can, under different market structures, result …

We reinvestigate the case in which insurers have superior information regarding consumer's risk types, as studied by …), which is analogous to the monopoly case. This paper clarifies that high risk consumers bear information costs when insurers …

insurance markets can be bad when there is adverse selection. Using the dual theory of choice under risk, we are able to fully … characterize both the competitive and the monopoly market outcomes. When there are two types of risk, the monopoly dominates … from the market. Performing simulation for different distributions of risk, we find that monopoly in general performs (much …

experiments and by controlling for the risk neutrality of insurers and the common risk aversion of their clients by means of the …