We study the Rothschild-Stiglitz model of competitive insurance markets with endogenous information disclosure by both … supplemental (undisclosed and nonexclusive) contract that brings the high risk individual to full insurance (at his own odds). We …

We study the Rothschild-Stiglitz model of competitive insurance markets with endogenous information disclosure by both … supplemental (undisclosed and nonexclusive) contract that brings the high risk individual to full insurance (at his own odds). We …

insurance provision. Risk-tolerant individuals take few precautions and are disinclined to insure, but they are drawn into a … pooling equilibrium by the low premiums created by the presence of safer, more risk-averse types. Taxing insurance drives out … insurance market …

A feature of many insurance markets is that they combine vertical differentiation (all consumers prefer high to low … US (Frean et al. (2017)). Moreover, it provides a complete characterization of the health insurance “death spiral”. The … minimum coverage standard combined with an insurance mandate cannot restore efficiency. The optimal system depends on both the …

's (1976) model of competitive insurance. I allow for stochastic contract offers by insurance firms and show that a unique …