decline. While participating contracts embedding these guarantees are designed to share market risk across investor cohorts … when guarantees are not binding, we study how binding guarantees distort inter-cohort risk sharing. Using regulatory data …

. Specifically, this paper empirically tests if prospect theory's loss aversion decreases insurance demand and increases savings …This paper investigates how loss-aversion affects individuals' decisions on savings and insurance purchase … demand. Prospect theory predicts that boundedly rational consumers may view pure protection insurance, such as term …

Variable annuities (VAs) are highly popular personal savings and investment products with long-term financial … guarantees. The hedging of these guarantees is crucial for VA providers, but is complicated by basis risk, i.e. the discrepancy …

We study aggregate lapsation risk in the life insurance sector. Using the regulatory reporting of historical lapse … risk factors that explain a large fraction of the common variation in lapse rates of the 30 largest life insurance … examine the heterogeneity in risk factor exposures based on policy and policyholder characteristics. Young policyholders with …

Life insurers sell savings contracts with surrender options, which allow policyholders to prematurely receive …

decline. While participating contracts embedding these guarantees are designed to share market risk across investor cohorts … when guarantees are not binding, we study how binding guarantees distort inter-cohort risk sharing. Using regulatory data …

decline. While participating contracts embedding these guarantees are designed to share market risk across investor cohorts … when guarantees are not binding, we study how binding guarantees distort inter-cohort risk sharing. Using regulatory data …