Titlebook: Contributions to the Economics of Index Based Insurance Schemes; Matthias Rödl Book 2019 Springer Fachmedien Wiesbaden GmbH, part of Sprin

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Martin Heisenberg,Reinhard Wolfsk has taken place; this topic is commonly known as moral hazard. One solution to this dilemma is observation. This chapter is dedicated to exploring the potential of aggregating two insured individuals into an interdependent group for the purpose of reducing observation costs.

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https://doi.org/10.1007/978-3-642-69435-6Poverty, at first glance, is simply the absence of adequate financial assets. However, upon having a closer look at the different aspects of this phenomenon, one has to acknowledge that it is a much more complex matter, especially in developing countries. Not only is it rooted on a multitude of causes, but the causal factors are also ambiguous.

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Introduction,Poverty, at first glance, is simply the absence of adequate financial assets. However, upon having a closer look at the different aspects of this phenomenon, one has to acknowledge that it is a much more complex matter, especially in developing countries. Not only is it rooted on a multitude of causes, but the causal factors are also ambiguous.

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Contributions to the Economics of Index Based Insurance Schemes

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Demand,ex based insurance, the correlation between an index and the insured’s loss, is incorporated in an explicit manner. Thereby, the necessity of a correlation between an index and personal loss as the crucial element is proven. Furthermore, previous results are extended onto a general level so that, in

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Self-insurance,s. In general, it is established that self-insurance and index insurance are substitutes, with the level of efforts undertaken being extended in comparison to a situation with a classic insurance being offered. The effect is two fold; on the one hand, efforts are increased because coverage under an