The Demand for Public Flood Protection under a Compulsory Private Flood Insurance Scheme

Daniel Osberghaus, Martin Achtnicht and Naufal Alimov

Land Economics, 2023, vol. 99, issue 3, 380-396

Abstract: After the 2021 flood events in Germany, the introduction of compulsory flood insurance was debated. However, insurance coverage for private buildings and belongings may undermine the willingness to pay for municipal flood protection. We use a discrete choice experiment (N = 5,940 participants) to analyze the effects of compulsory insurance on the preferences for public flood protection. The demand for municipal flood protection is associated with its effectiveness and cost and varies plausibly with numerous covariates but is unaffected by compulsory insurance. Hence, there is no empirical indication that compulsory flood insurance would undermine citizens’ support for public flood-risk reduction.

JEL-codes: Q54 (search for similar items in EconPapers)
Date: 2023
Note: DOI: https://doi.org/10.3368/le.99.3.022422-0017R
References: Add references at CitEc
Citations:

Downloads: (external link)
http://le.uwpress.org/cgi/reprint/99/3/380
A subscription is required to access pdf files. Pay per article is available.

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:uwp:landec:v:99:y:2023:i:3:p:380-396

Access Statistics for this article

More articles in Land Economics from University of Wisconsin Press
Bibliographic data for series maintained by ().