English, Article edition: Economic Criteria for Compulsory Insurance* Michael G Faure

User activity

Share to:
 
Bookmark: http://trove.nla.gov.au/version/79181
Physical Description
  • article
Language
  • English

Edition details

Title
  • Economic Criteria for Compulsory Insurance&​ast;
Author
  • Michael G Faure
Physical Description
  • article
Notes
  • This paper applies the economic analysis of law through the question of under what conditions should insurance be made compulsory. A distinction is made between first-party (victim) insurance and third-party (liability) insurance. It is argued that under some circumstances compulsory victim insurance may be indicated, for example, when information problems or externalities arise. The major argument in favour of compulsory liability insurance is insolvency of the potential injurer. His insolvency may lead to underdeterrence. This can be cured through making the purchase of insurance compulsory. However, equally a few limits and warnings with respect to the introduction of a duty to insure are presented. If the moral hazard problem cannot be cured or if insurance is not sufficiently available, making insurance compulsory may create more problems than it cures. Also, it is argued that a major disadvantage of compulsory insurance is that it may make governments too dependent on the insurance market. The Geneva Papers (2006) 31, 149–168. doi:10.1057/​palgrave.gpp.2510063
  • RePEc:pal:gpprii:v:31:y:2006:i:1:p:149-168
Language
  • English
Contributed by
OAIster

Get this edition

  • Set up My libraries

    How do I set up "My libraries"?

    In order to set up a list of libraries that you have access to, you must first login or sign up. Then set up a personal list of libraries from your profile page by clicking on your user name at the top right of any screen.

  • All (1)
  • Unknown (1)
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.
None of your libraries hold this item.

User activity


e.g. test cricket, Perth (WA), "Parkes, Henry"

Separate different tags with a comma. To include a comma in your tag, surround the tag with double quotes.

Be the first to add a tag for this edition

Be the first to add this to a list

Comments and reviews

What are comments? Add a comment

No user comments or reviews for this version

Add a comment