Journal article
Homeowner's Insurance with Bundled Catastrophe Coverage
The Journal of risk and insurance, Vol.71(3), pp.351-379
09/2004
DOI: 10.1111/j.0022-4367.2004.00094.x
Abstract
We estimate the demand for homeowners insurance in Florida and New York with indicated loss costs as our proxy for the quantity of real insurance services demanded. We decompose the demand into the demand for coverage of catastrophe perils and the demand for noncatastrophe coverage and estimate these demand functions separately. Our results are relatively consistent in New York and Florida, including evidence that catastrophe demand is more price elastic than noncatastrophe demand. We also find evidence that consumers value options that expand coverage, buy more insurance when it is subsidized through regulatory price constraints, and consider state guaranty fund provisions when purchasing insurance.
Details
- Title: Subtitle
- Homeowner's Insurance with Bundled Catastrophe Coverage
- Creators
- Martin F. GraceRobert W. KleinPaul R. Kleindorfer
- Resource Type
- Journal article
- Publication Details
- The Journal of risk and insurance, Vol.71(3), pp.351-379
- Publisher
- Blackwell Publishing
- DOI
- 10.1111/j.0022-4367.2004.00094.x
- ISSN
- 0022-4367
- eISSN
- 1539-6975
- Number of pages
- 29
- Language
- English
- Date published
- 09/2004
- Academic Unit
- Finance
- Record Identifier
- 9984701256602771
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