The Asymmetric Information Problem in Taiwan's Cancer Insurance Market

Kili C Wang (), Jin-Lung Peng, Yi-Yun Sun and Yao-Chia Chang
Additional contact information
Kili C Wang: Department of Insurance, Tamkang University, Taipei, Taiwan.
Jin-Lung Peng: Department of Risk Management and Insurance, National Chengchi University, Taipei, Taiwan.
Yi-Yun Sun: Graduate Institute of Finance and Insurance, Shih Chien University, Taipei, Taiwan.
Yao-Chia Chang: Graduate Institute of Finance and Insurance, Tamkang University, Taipei, Taiwan.

The Geneva Risk and Insurance Review, 2011, vol. 36, issue 2, 202-219

Abstract: This paper investigates the problem of asymmetric information in Taiwan’s cancer insurance market. Through the survey data, we find evidence of adverse selection existing in this market. Furthermore, we collect additional information on the individual, and find that the individual’s family cancer history contains additional valuable information. It can not only more accurately predict the probability of contracting cancer, as well as predict the willingness to purchase extended cancer insurance, but it can also help to mitigate the severity of adverse selection in the insurance market.

Date: 2011
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.palgrave-journals.com/grir/journal/v36/n2/pdf/grir201012a.pdf Link to full text PDF (application/pdf)
http://www.palgrave-journals.com/grir/journal/v36/n2/full/grir201012a.html Link to full text HTML (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:genrir:v:36:y:2011:i:2:p:202-219

Ordering information: This journal article can be ordered from
http://www.springer.com/journal/10713

Access Statistics for this article

The Geneva Risk and Insurance Review is currently edited by Michael Hoy and Nicolas Treich

More articles in The Geneva Risk and Insurance Review from Palgrave Macmillan, International Association for the Study of Insurance Economics (The Geneva Association) Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().