An Examination of Life Insurers’ Risk Attitudes
Yaffa Machnes ()
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Yaffa Machnes: Bar-Ilan University, Israel
Frontiers in Finance and Economics, 2010, vol. 7, issue 2, 125-137
This paper presents evidence of a significant positive relationship between the ratios of life insurance premiums quoted to smokers relative to the premiums quoted to non-smokers, and the financial strength of the insurance company. This suggests that life insurers reveal increasing relative risk aversion.
Keywords: risk aversion; life insurance; premium quotes (search for similar items in EconPapers)
JEL-codes: D81 D92 G2 (search for similar items in EconPapers)
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Persistent link: https://EconPapers.repec.org/RePEc:ffe:journl:v:7:y:2010:i:2:p:125-137
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